Overseas Headlines – January 11, 2023

January 11, 2023


United States:

Fed’s No-Rate-Cut Mantra Rejected by Markets Seeing Recession

Federal Reserve officials are making a full-court-press effort to convince investors they won’t be slashing their benchmark interest rate before year’s end.



European Stocks Resume Advance on Hopes of Easing Inflation

European equities rose on optimism around cooling inflation, with US consumer prices data on Thursday seen providing further clues on the path of the Federal Reserve’s monetary policy.

The Stoxx Europe 600 Index added 0.6% by 1:04 p.m. in London. Real estate led the advance as bond yields slipped, while retail shares also outperformed following a strong trading update from JD Sports Fashion Plc. Insurers were hit by Direct Line Insurance Group Plc scrapping its dividend due to a jump in claims.



China Trauma Proves Too Much for US Funds to Trust Xi Just Yet

As recently as October some of the world’s money managers were lamenting the loss of China as an attractive investment destination under President Xi Jinping.

A lot has happened since then. A series of market-friendly pivots on most of Xi’s landmark policies have seen the country’s assets become the world’s top performers. The MSCI China Index has gained about 50% since October, outpacing every major stock gauge. The nation’s junk dollar debt has returned more than 40% and the yuan has posted a record two-month gain.




Analyst Certification – The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view (s) expressed by that research analyst in this research report.

Company Disclosure – The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.