14 December 2018
By Sheldon MacDonald, Co-Fund Manager HC Verbatim Multi-Index Funds
After a fairly wild ride in markets during October, the last month has seen some consolidation and even a slight recovery in places.
However, there were some fairly big differences between markets. Most developed markets were up just a little in November while emerging markets rebounded strongly after falling significantly the previous month. This area was particularly helped by the easing of trade tensions between the US and China, which led to improved investor sentiment. The UK was the main market to experience a further fall over the month as it continues to be beset by Brexit concerns.
We believe the market improvements were largely a natural bounce from the big falls in the previous month. Other than easing trade tensions, the only other real catalyst to boost investor sentiment was the indication from the US central bank chair Jerome Powell that interest rates might not rise as fast as previously expected.
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