IMT Asset Management Investment Outlook Oct. 2015
Nervous markets and rising recession risk
In September markets were very volatile with unu-sually wide fluctuations, though by and large equity markets moved sideways. The major damage to equity markets occurred within only a few trading days, basically between August 19 and August 25, when the S&P500 lost more than 10%, while emerg-ing markets and the EuroStoxx50 lost more than 6%.
This volatility translated into negative performance in September for most equity markets. The Nikkei lost 8.0%, the EuroStoxx50 index 5.2%, the S&P500 2.6%, and emerging markets 3.3%. Meanwhile, government bonds rallied. German 10Y Bund yields fell 21 basis points and US 10Y treasury yields fell 18 basis points.
The major event in September was the Fed’s decision on the 17th of the month to keep interest rates unchanged. On the back of continuing low inflation and great uncertainties about the economic outlook for China and the emerging markets in general, this looks today like the right decision.
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Sonntag, 20. Juli 2025, 00:34
