News & Updates
In our News & Updates section, we’ll keep you informed about what is happening at MeDirect Group. Through this section we also publish weekly market updates provided by well-established fund houses and other interesting financial reads. Make sure to visit often to keep yourself up to date.
The Federal Reserve (Fed), the Bank of England (BoE), the Swiss National Bank (SNB), Norges Bank and the Riksbank all raised interest rates last week and paved the way for further hikes at upcoming meetings.
Business activity is slumping and higher inflation persists. Central banks are responding with aggressive rate hikes without fully acknowledging the growth damage. The new regime of macro volatility is taking root with weaker growth, persistent inflation and volatile markets.
Successful investing requires a rare ability to overcome one’s own psychological weaknesses–but you have to identify them first.
BlackRock have argued since March that the energy crunch will drive a recession in Europe The crisis has worsened since then as Russia has halted gas supplies. Plus, the European Central Bank (ECB) isn’t acknowledging how it will crush activity further by trying to fight high inflation, in BlackRock’s view.
Headwinds persist and volatility remains, and investors seem to be looking beyond the immediate issues that have been weighing on stocks, giving the market short-term, risk-on moves higher.
Franklin Mutual Series’ Investment Strategist Katrina Dudley believes that higher inflation in Europe stemming from rising energy prices, as well as lower relative interest rates, may keep the euro under pressure.