Macro update
Global equities remain cautious with mixed regional performance: Asian markets traded unevenly overnight while US futures were broadly unchanged, highlighting continued uncertainty around interest rates and geopolitical developments.
China producer prices turn positive after prolonged deflation: China’s PPI moved back into positive territory for the first time in three years, supported by higher energy costs and improving demand conditions.
Oil prices stay elevated on supply concerns: WTI crude hovered near the $100 per barrel level as geopolitical tensions continued to threaten key supply routes and sustain volatility in energy markets.
Bond markets stabilise after recent volatility: Government bond yields were largely steady as investors reassessed expectations for the timing and magnitude of central bank rate cuts.
Dollar steady while yen remains under pressure: The US dollar traded in a narrow range, while the yen stayed weak amid policy divergence despite ongoing intervention concerns.
UK outlook shaped by easing expectations and soft data: Markets continue to price in further Bank of England rate cuts as growth indicators remain subdued and inflation trends show signs of moderation.