Monthly Market Commentaries

Global equities moved higher in April as investor sentiment strengthened following signs of de-escalation in the Middle East, resilient corporate earnings, and renewed optimism around technology-led growth.

Global markets were weaker over Q1, as investor confidence was unsettled by geopolitical risks and changing expectations around interest rates, leading to periods of heightened volatility, driven in part by escalating conflict between Iran, the United States, and Israel following direct U.S. military involvement in the region.

Global equity markets rose in February, although performance varied between regions. Markets outside the US generally performed better as investors reassessed expectations for technology companies linked to artificial intelligence (AI), many of which have seen share prices rise sharply in recent years.

Global equities rose in January, with emerging markets outperforming developed markets, helped by a weaker US dollar, which tends to support overseas assets by making them cheaper for international investors.

Global markets recorded steady gains over Q4, with many ending the year close to record highs. For the first time in several years, markets outside the United States delivered stronger returns than the US, driven by a weaker US dollar, more attractive overseas valuations, and a market rotation from highly priced US technology stocks. Solid company earnings and easing inflation supported markets, increasing confidence that major central banks would continue cutting interest rates in 2026.

November was a more unsettled month for markets as investors grew more cautious.