April 2019

• Global markets advanced in April as improving corporate earnings, supportive central bank policies and optimism surrounding trade negotiations boosted investor confidence.
• U.S. equities reached new record highs as economic conditions remained resilient despite slower global growth.
• European and Asian markets recovered alongside improving manufacturing sentiment and stronger risk appetite.
• Emerging markets benefited from stable financial conditions and continued Chinese stimulus measures.
• Bond yields remained relatively low as central banks maintained accommodative policy outlooks.
• Commodity prices strengthened further, particularly oil, due to tightening supply conditions.

Asia (ex. Japan)

Asian markets outside Japan delivered strong gains during April as Chinese economic data showed signs of stabilisation following extensive fiscal and monetary stimulus measures. Manufacturing activity improved modestly, helping support confidence in regional growth conditions.

Technology-focused markets such as Taiwan and South Korea benefited from recovering investor sentiment and stabilising export demand, while India advanced on expectations of continued domestic growth and accommodative monetary conditions.

Europe

European equities advanced during April as investors responded positively to improving global sentiment and supportive central bank policies. Economic data remained mixed but showed signs that the slowdown in manufacturing activity may have begun stabilising.

The European Central Bank maintained its cautious stance regarding monetary tightening, helping keep financing conditions supportive across the region. Political uncertainty surrounding Brexit remained present but generated less market disruption than earlier in the year.

United States

U.S. equities reached new record highs during April as strong corporate earnings and resilient economic growth supported investor confidence. Technology and consumer sectors continued leading gains, while labour market conditions remained highly supportive.

The Federal Reserve maintained its patient approach toward monetary policy, reinforcing expectations that interest rates would remain stable for an extended period. Treasury yields remained relatively contained despite improving equity sentiment.

United Kingdom

UK equities posted modest gains during April as global market strength offset ongoing Brexit uncertainty. Sterling remained volatile but generally stable compared with previous months.

Economic growth conditions remained moderate, supported by resilient employment and consumer spending trends. The Bank of England continued maintaining a cautious policy stance amid persistent political uncertainty.

Japan

Japanese equities advanced during April as global risk sentiment improved and export conditions stabilised modestly. Corporate earnings remained relatively resilient despite softer global manufacturing conditions earlier in the year.

The Bank of Japan maintained highly accommodative monetary policies and reiterated its commitment to supporting inflation and economic growth.

Emerging Markets

Emerging markets performed strongly during April as stable global financial conditions, Chinese stimulus measures and improved trade optimism supported investor inflows.

Asian emerging markets led gains due to stronger technology demand and improving economic confidence, while commodity exporters benefited from rising oil and metals prices.

Commodities

Commodity prices strengthened further during April, led by oil as geopolitical tensions and supply constraints tightened global energy markets.

Industrial metals advanced modestly as Chinese economic conditions improved, while gold prices remained relatively stable amid balanced risk sentiment and accommodative central bank policies.