The war involving Iran and the disruption to transit in the Strait of Hormuz have lifted energy prices, complicated central bank decision-making and reintroduced a stagflationary risk into the outlook.
Markets enter May facing a more complex and less forgiving macro backdrop. The dominant near-term risk is the Middle East conflict and the resulting disruption to energy flows through the Strait of Hormuz.
Global markets face an increasingly volatile backdrop as the conflict between the U.S., Israel, and Iran has escalated into a full-scale regional war, disrupting global energy markets and rattling investor confidence.
Global markets entered 2026 with a complex backdrop: resilient but slowing economic growth, elevated policy uncertainty, and a meaningful shift in the relative performance of U.S. versus international equities.
2026 began with geopolitics related volatility, as the World Economic Forum brought world leaders together.
2025 was a very strong year for most investors: strong returns across stocks, solid performance in many asset classes, and plenty of headlines along the way.
Recent market performance has raised questions about whether certain areas, particularly AI-related stocks, may be experiencing heightened optimism.
The Bank of Canada and U.S. Federal Reserve both delivered rate cuts, but diverging tones and talk of artificial intelligence, are shaping investor sentiment.
On September 17, both the Bank of Canada and the U.S. Federal Reserve cut policy rates by 25 basis points, a move that came despite stock markets hovering near all-time highs. With Canada facing a shrinking GDP, falling exports, and cooling inflation
Jackson Hole Shifts the Fed’s Focus At this year’s Jackson Hole conference, Fed Chair Jay Powell surprised markets with a clear change in tone. After months of prioritizing inflation, the Fed may now be turning its attention to the labour market
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Read More: August 2026
As August begins, markets are navigating a more divergent macro backdrop. Global activity remains resilient, helped by U.S. consumption and AI-related investment, but inflation risk has not fully disappeared.