The Trump Effect, ECB Rate Cuts, European Highs, Rolls Royce, Nvidia, ITV, US CPI, Balfour Beatty & Deliveroo

In another packed program Michael Brown (Senior Market Strategist from Pepperstone) and I look back at the recent rate cut from the ECB, as well as the market fallout from President Trump’s shift on US foreign and defence policy, as well as the announcement of fresh tariffs that has seen US markets fall sharply over the last 2 weeks, but has seen the DAX and FTSE100 make new record highs.

We also look back at recent earnings announcements from Rolls-Royce, Nvidia and ITV as well as looking ahead to US CPI and results from Deliveroo and Balfour Beatty.

Takeaways

• The market is currently facing a growth scare due to deteriorating economic figures.
• US markets are down on the year, contrasting with European markets that are performing better.
• Central banks are navigating significant policy uncertainty, impacting their decision-making.
• Increased defense spending in Europe is seen as a response to geopolitical tensions.
• Corporate earnings reports are influencing market sentiment, with mixed reactions from investors.
• Sector rotations are occurring as investors shift from high-risk tech stocks to more defensive sectors.
• Geopolitical factors, including tariffs and trade relations, are affecting market stability.
• The economic outlook remains uncertain, with potential for further volatility in the coming months.
• Investors should be cautious and consider the implications of central bank policies on their strategies.
• The stock market’s performance does not always reflect the underlying economy.