The Cambridge Weekly – 5 November 2018

Good-bye cathartic October What a difference one month can make. At the end of September, one of the biggest conundrums of 2018 was the divergence of stock market returns between the US (strongly positive) and the rest of the world (flat). October’s stock market...

The Cambridge Weekly – 29 October 2018

Stock markets suffer liquidity squeeze During the recovery from February’s stock market correction, we wrote on these pages that the upsurge in equities – particularly in the US – felt a little uncomfortable. This was because the correction had not followed the usual...

Cambridge Weekly – 15 October 2018

Autopsy of a stock market sell-off Last week, we wondered why stock markets had not reacted more negatively to the latest upward wave of bond yields, when this had led to a formidable stock market correction back in February. As it turned out over the course of this...

Cambridge Weekly – 8 October 2018

Bond market sell-off surprise Having written only last week that Trump’s trade wars may prove a bizarrely supportive factor towards safely unwinding overvalued bond markets, I feel as if I provoked bond markets to prove me wrong. Amongst the other news stories, bond...

Cambridge Weekly – 1 October 2018

Poor politics containing bond market risks? As September and Q3/2018 drew to a close, investors enjoyed a second consecutive week of positive returns, ending the period not only with positive returns overall, but also in an uptrend. End of an era for the Fed The era...

Cambridge Weekly – 24 September 2018

Brexit clamour vs. real market news The UK’s establishment had pinned high hopes on a Brexit breakthrough at the EU’s Salzburg (non-Brexit specific) summit. But the rest of the EU had a different agenda, so disappointment was inevitable. Judging by the vastly...

Cambridge Weekly – 14th September 2018

Financial crisis – 10 years on It was 10 years ago this week that US investment bank Lehman Brothers was allowed to default. This event marked the beginning of the ultimate escalation from a severe credit crunch to a full blown global financial sector meltdown. The...

Earnings are growing, why worry?

Chris Swanepoel, our estimable head of AIM investments, says that he doesn’t know anybody who has stopped doing their weekly shopping because of Brexit or Donald Trump.His job is to invest in companies and a lot of them are doing better than OK.Companies...

It is getting hot

It was a week with two faces – strong economic data across the developed world on the one side and disruptive political rhetoric on the other. Donald Trump’s administration imposed tariffs of 25% on $34 billion worth of Chinese imports and...