Market insights and articles we found interestingEvery day at Clayline Wealth we read news and articles from a wide range of sources. Below are some of the highlights that we think might help you in your financial choices. If you have any questions about the content in them, please contact us, we are happy to help.
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Investor appetite for risk continued in the second quarter as vaccinations ramped up around the world. While the spread of the delta variant has slowed the reopening in some countries, most developed economies have seen a rebound in economic activity, with governments easing COVID-19 lockdown restrictions.
Canada’s main stock market index reached record highs in May, with investor sentiment heightened by strong economic data and an improved growth outlook as COVID-19 vaccinations accelerated across the country. Meanwhile, other equity markets were constrained by lingering inflation concerns and surges in virus cases in various parts of the world.
The momentum behind Q1’s robust equity market rally continued in April and helped push major stock benchmarks to record highs. A surplus of positive economic and corporate data fuelled investor optimism throughout the month. This was somewhat offset by lingering inflation concerns and a growing tally of virus cases around the globe. By the end of the month, however, almost all major equity indices we follow were higher.
March capped off a strong first quarter for stocks, with major equity benchmarks hitting record highs during the quarter’s final month. Investor optimism during the quarter was buoyed by successful vaccination rollouts around the globe. However, fears of higher inflation and the possibility of accelerated policy tightening led to rising bond yields and weaker stock prices midway through the quarter.
The dog days of summer are here, with stock markets experiencing low volumes and some casual upward drift, but no significant moves to speak of. This is a historically seasonal pattern that has been repeated for decades, although this year, it seems to be extended due to everyone trying to make up for last year’s missed vacation time.
Major equity benchmarks around the globe ended February in positive territory despite bouts of turbulence during the second half of the month. Stock market performance to start the month was solid as vaccination rollout plans strengthened investor optimism for a large-scale reopening of the economy later this year.