Author — Martin Young, CEO of Farringdon Asset Management

Global Macro Review

• Broad markets dipped as investors took part in profit taking.

UK Markets

• UK inflation decreased significantly to 2.3% from 3.4% last year.
  

  Country	Inflation Rates
  EU	2.4%
  US	3.4%
  UK	2.3%

• Driver for UK inflation rate drop is due the end of price cap for gas which resulted in cheaper gas prices.
• UK inflation data has triggered UK general election for 4th July.
• There are also speculations tat UK interest rate cut may begin soon.

US Markets

• Sentiment towards the Dollar is rapidly declining with short sellers outweighing long buyers.
• This is caused by the speculation of US interest rate cuts where there is a reduction in US inflation.
• The US is also financing a massive deficit where debt is getting larger.
• The US GDP ratio is almost as bad as Italy’s.
• Elon Musk has raised 6 billion for his new xAi venture in series B which values at 18 billion.

India Markets

• Modi who is running for third term in India is betting heavily on infrastructure.
• Last year India spent 133 billion on infrastructure which is up by a factor of 3 from 4 years ago.
• There are huge pipelines of 537 billion over the next 5 years.
• India’s economy may possibly grow at 9% by 2030.

Japan Markets

• BoJ indicates scope for raising interest rates now that they have shifted away from inflation norm at 2%.

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The information contained in this document is for information only and should not be taken as a recommendation to buy or sell. Investors are reminded that past performance is no indication of future performance.