30 August 2023
Global equities edged up on Wednesday, but August marked their worst month of 2023, reflecting concerns about extended central bank interest rate hikes. MSCI’s global index reached a two-week high, boosted by China’s investment efforts and weak US jobs data. However, caution prevailed in Europe, leading to softer equity markets. Eurozone bond yields rose due to August inflation data, prompting expectations of a European Central Bank rate hike in September. US futures for S&P 500 and Nasdaq slipped, signaling a potential decline in Wall Street shares. Despite recent job data, MSCI’s global stock gauge dropped over 3% in August, driven by hawkish Fed signals.