Latest Irish Life weekly markets update
Latest Irish Life weekly investment bulletin
Key talking points include
Key talking points include
- Equity markets retreated on the week following a significant rotation in market leadership - mega-cap tech shares fell sharply while value and small-cap shares moved higher with the latter perceived as the biggest beneficiaries of potential interest rate cuts.
- The S&P 500 fell by 1.7% (MTD -0.7%, YTD 17.9%) while the Euro Stoxx 50 fell by 4.3% (MTD -1.3%, YTD 9.7%).
- This week, focus is likely to be on the implications of Biden's decision to drop out of the presidential race as well as various business and consumer sentiment surveys. In addition, ahead of next week's Fed meeting, the Bank's preferred inflation measure (PCE) is released on Friday - markets will be watching to see if price pressures ease further, potentially making a September rate cut more likely.
- Q2 corporate earnings will also remain in focus, with large tech companies like Microsoft, Google and Tesla reporting this week. Guidance for the second half of 2024 and indications for potential AI implementation are set to be key watch points.