January 2026

• Global markets began 2026 positively as easing monetary policy, resilient economic conditions and continued artificial intelligence-related investment supported investor confidence.
• Technology and semiconductor sectors remained dominant market leaders globally.
• Central banks across several developed economies continued gradual interest rate reductions as inflation remained largely under control.
• Bond yields remained relatively stable amid balanced growth and inflation expectations.
• Chinese economic activity showed continued stabilisation following extended policy support measures.
• Commodity prices delivered mixed performance amid moderate global demand growth and ongoing geopolitical risks.

Asia (ex. Japan)

Asian markets outside Japan advanced during January as sustained semiconductor demand and improving Chinese economic conditions supported investor sentiment.

Taiwan and South Korea remained key outperformers due to continued artificial intelligence infrastructure investment, while Chinese markets benefited from stabilising domestic consumption and improving credit conditions.

Europe

European equities delivered positive performance during January as lower borrowing costs and stabilising inflation supported financial conditions across the region.

Consumer and financial sectors benefited from improving confidence, though manufacturing activity remained relatively subdued in several eurozone economies.

United States

U.S. equities reached additional highs during January as strong corporate earnings and continued artificial intelligence-related investment momentum supported market performance.

Technology and semiconductor companies remained major market leaders, while easing monetary policy continued improving broader financial conditions.

United Kingdom

UK equities advanced during January as easing inflation and lower interest rates improved investor confidence and domestic financial conditions.

Consumer spending and housing-related sectors benefited from gradually improving borrowing conditions and stronger household sentiment.

Japan

Japanese equities remained strong during January as exporters, industrial firms and semiconductor-related companies benefited from resilient global demand and improving domestic conditions.

Investors continued monitoring gradual Bank of Japan policy normalisation while maintaining confidence in Japanese corporate earnings growth.

Emerging Markets

Emerging markets delivered positive performance during January as improving global liquidity conditions and stabilising Chinese growth supported capital inflows.

Technology-oriented Asian economies continued outperforming due to sustained semiconductor and artificial intelligence-related investment demand.

Commodities

Commodity prices delivered mixed performance during January. Oil prices remained relatively stable as balanced global supply and demand conditions offset geopolitical uncertainty.

Industrial metals remained supported by infrastructure investment and technology-related demand growth, while gold prices stayed elevated due to lower interest rates and continued central bank buying.