Cappuccino Commentary

Despite a lot of political noise and further threats around tariffs, equity markets delivered strong returns in July. After several months of the dollar weakening versus sterling (and other major currencies), the US currency rebounded over the month, delivering additional returns to sterling investors. Global equities posted a sterling return of 5.7%, mainly driven by the US market which posted a healthy 6.9% return. All major equity returns posted positive returns, with the UK market +3.9%…

As we move into what’s looking like a really hot summer and take stock of the year so far there’s been plenty of interesting developments.

Despite concerns around President Trump’s trade policies and escalating conflicts with Iran, most major asset classes delivered positive returns over the quarter. While this encouraging, we have seen significant market volatility along the way…

As we move into what’s looking like a really hot summer and take stock of the year so far there’s been plenty of interesting developments.
Despite concerns around President Trump’s trade policies and escalating conflicts with Iran, most major asset classes delivered positive returns over the quarter. While this encouraging, we have seen significant market volatility along the way…

April certainly wasn’t short on market volatility as investors grappled with Trump’s erratic trade policies. It now feels like a lifetime ago since Trump announced his “reciprocal” tariffs during April 2nd’s “liberation day”. They triggered sharp market declines and a major spike in volatility across asset classes. Market sentiment improved after Trump announced he would pause tariffs for 90-days (initially except for China)…

In March 2025, global financial markets were unstable due to economic uncertainty and changing tariff policies, which made investors anxious. The Trump administration’s bold trade plans, especially new tariffs introduced in April, caused significant market changes. This summary looks back at what happened in March and how things have developed by April 2025, including the latest market responses and economic effects.

The shortest month of the year certainly didn’t feel brief as markets lurched in response from one geo-political drama to another. US markets took the brunt of the damage as Trump’s proposed (and delayed for now) tariffs on Mexico and Canada led to inflation fears. Consumer confidence numbers didn’t help matters, and lingering fears over the sustainability of earnings from big US tech stocks saw the NASDAQ suffer its biggest monthly decline in ten months.