Global Weekly: Equities – emerging markets under pressure

Global equity markets declined this week, with emerging markets taking the hardest hit. On Monday, unrest around the Turkish lira had a negative effect on equities. The lira depreciated by around 10% against the US dollar that day, but recovered during the week. Turkish policy makers took steps to bolster the financial system and restore investor confidence. The Turkish central bank announced that it would take all necessary measures and lowered the amount of capital that commercial lenders must park at the regulator. On Wednesday, the central bank took measures to restrict short-selling in the currency. The Turkish lira recovered after this announcement. Tensions between the US and Turkey, however, remain high and the Turkish central bank refrains from rate hikes.

News item17 August 2018

Market Comment: Earnings season wrap up: US outpaces Europe

The second-quarter earnings season was strong, particularly in the US. Jan Wirken, ABN AMRO equity analyst, explains how trade war fears dampened share prices, despite good results.

News item14 August 2018

Market Comment – Turkey: contagion fears seem overdone

Developments surrounding Turkey have gripped markets. Yields on Turkish government bonds, moving inversely to prices, spiked. The Turkish lira saw a rapid decline over the past few days, before slightly rebounding today. As investors start to question Turkey's ability to service its foreign debt obligations, fears of contagion to other countries are rising. ABN AMRO's Mary Pieterse-Bloem acknowledges that the crisis in Turkey is unlikely to be resolved quickly – but contagion fears seem to be exaggerated.

News item14 August 2018

Global Weekly: Adding spice to a portfolio

This week trade tensions between the US and China arose again, with the US saying that in two weeks it will begin imposing 25% duties on an additional USD 16 billion of Chinese imports. China, in turn, says that it will retaliate. Investors also remain concerned regarding Brexit negotiations and budget talks in Italy.

News item10 August 2018

Global Weekly: Lots of news

Last week was another busy week for investors. The second-quarter earnings season is now in full swing. There was also a lot of news flowing into financial markets from central banks worldwide and continuing trade tariff discussions.

News item03 August 2018

ABN AMRO to acquire Societe Generale Private Banking NV in Belgium

ABN AMRO announces today that it has reached an agreement with Societe Generale on the acquisition of Societe Generale Private Banking NV, the private banking subsidiary of Societe Generale in Belgium. By combining ABN AMRO’s existing private banking activities in Belgium with those of Societe Generale, ABN AMRO strengthens its market position in Belgium and its position in the Eurozone as a leading private bank.

News item30 July 2018

Global Weekly: Strong start to earnings season

Over the past week, there was a lot of news flowing into financial markets. In general, investor sentiment is positive, as company results have been, on balance, strong, especially in the US. In addition, we also noted some recovery in Chinese equity markets. It is driven by a stabilising yuan and the State Council saying it would adopt a more proactive fiscal policy.

News item27 July 2018

Global Weekly: Earnings season starts up

Over the past week, equity markets performance was mixed. Although underlying fundamentals are generally encouraging, geopolitical tensions with regards to trade tariffs are still lurking in the background. The second-quarter earnings season is now underway, which offers investors the opportunity to see how companies are doing and where earnings and expectations around earnings are heading. Although it is still early days for the earnings season, it appears that the US is again off to a good start, whereas Europe, so far, is mixed.

News item20 July 2018

Investment Strategy: Reason for optimism despite trade war worries

The economy continues to do well and company fundamentals remain sound. As long as trade war worries do not lead to a severe deterioration in business confidence, the ABN AMRO Global Investment Committee believes there is reason to be optimistic. The committee therefore remains comfortable with its current moderate overweight in equities and decided, at its meeting on 12 July, to leave its asset allocation unchanged.

News item18 July 2018

Market Comment: Trade tensions: from tiff to spat to squabble

There are many words used to describe the stages of trade disagreements until the final, no holds barred “Trade War” breaks out. We are not there yet, but instead have moved from tiff to spat to what now might be described as a squabble. The most serious tensions are between the US and China, and the situation most concerning to European equity markets is between the US and Germany – and by extension, the EU.

News item17 July 2018

Global Weekly: Cool in rough times

There was a lot of political hassle this week with the trade war lingering on, ambiguity about Brexit and arguments about the level of contributions to NATO. However, markets were not impressed and most major stock markets were even slightly up this week; Chinese stocks rebounded from their yearly low of last week.

News item13 July 2018

Investment Strategy: Adjustments within stock and bond portfolios

We have been saying for a while now that 2018 is no rerun of 2017. While economic growth continues, it is lower. Europe now lags, not leads, the US. And rising (geo)political tensions – including populist parties in Italy, discontent in Germany and the implications of a possible trade war – have dented enthusiasm, particularly in Europe.

News item11 July 2018

Global Weekly: Trade tariffs, stress tests and not-so-responsible miners

Stock markets were mixed this week, but many were up. European markets started with a decline, but recovered during the week. American stocks started well, but lost their profits on Tuesday. On Wednesday, US markets were closed due to Independence Day, but turned positive again on Thursday. Emerging markets were weak.

News item06 July 2018

Global Weekly: Fed and ECB going in different directions

Bond markets have been digesting divergent central bank messages this week, while watching trade disputes slowly approach evolving into trade wars. Last week, the US Federal Reserve indicated its intention to continue hiking rates, while the European Central Bank (ECB) expanded on its guidance for very slow rate hikes that would start in an ever more distant future. ECB officials reinforced that message this week. We therefore now expect the first rate hike by the ECB to occur in December 2019 instead of September 2019.

News item29 June 2018

Market Comment: Twists and turns on the road to electric vehicles

There are twists and turns on the road to more environmentally friendly cars. As ABN AMRO sustainability expert, Esther van Munster, points out, not every electric car is “green” and newer diesel engines can be seen as ‘cleaner’ than gasoline, as they emit less carbon dioxide. In the end, however, consumer preference for greener solutions will prevail.

News item22 June 2018

Global Weekly: Trade war fears

Stock markets declined across the globe this week, as trade tensions between the US and China flared up again and the political uncertainty in Italy added further woes to markets. The STOXX Europe 600 Index declined by some 2%. German stocks were hit even harder on fears that a trade war could substantially impact industrial companies and car producers. Chinese shares also suffered, declining by some 4%. US stocks did relatively well, helped by the strengthening US dollar.

News item22 June 2018

Investment Strategy: Tailwinds less, but direction is sure

Economic growth and company fundamentals remain in good shape, creating a positive investment environment. At the same time, a lack of clarity regarding Italian politics, tariffs & trade wars and the next actions of central banks have increased market nervousness.

News item20 June 2018

Global Weekly: Central banks in the spotlight

All eyes were on central banks this week, as central bankers in both the US and Europe gathered for important policy meetings. In the US, the Federal Reserve announced a rate hike – the second for this year, stating that the current labour environment had improved and reached satisfying levels, while core inflation was now slightly above the 2% objective.

News item15 June 2018

Didier Duret on CNBC: New technology will offer a way out for Europe's troubled telecoms

Didier Duret, global chief investment officer at ABN Amro Private Banking, speaks about developments in the European telecoms sector.

News item11 June 2018

Global Weekly: Positive momentum

It has been a positive week for equities. Asian indices rose most, followed by the US. Minor gains were recorded in Europe. In line with this positive momentum, most sectors managed to rise, except for the utilities and energy sectors. The strongest sectors were materials and consumer discretionary.

News item08 June 2018