Global equities continue their charge despite AI overspending fears
Global equities continue their charge despite AI overspending fears
11 Feb 2025
Global equities delivered another 4.2% in January despite a sell-off that saw $350bn wiped off the market cap of tech giant Nvidia over the month. The robustness of the UK government bond market was put to the test in early January but proved resilient as yields subsided in the second half of the month.
February started with US tariffs unsettling markets, coming off the back of strong market performance in January
Month in brief
- DeepSeek – a new AI market disruptor – sent shockwaves through tech markets in January
- UK government bonds recovered after a mid-month scare
- The Fed left its lending rate unchanged whilst the ECB lowered rates in January, the BOE
then lowered borrowing rates in early February - Investment grade and high yield credit spreads remain very tight