Market Update. Trade optimism & rate cuts rally global equities in September

Oct 15 23:10 2019 Print This Article

The month at a glance

All WealthBar equity weighted portfolios ended September higher after a volatile month in August. Markets rallied as the US-China trade talks started to appear more optimistic and both the European Central Bank (ECB) and the US Federal Reserve (the Fed) introduced key rate cuts. 

Read on for a deeper dive into how these events are shaping the market or jump to performance.

September Market Movers

Double dose of stimulus: both the ECB and the Fed cut interest rates. 

The ECB cut rates to a new record low of -0.5% to combat a weakening eurozone economy. It also announced that it will restart its bond buying program this November to the tune of €20 billion ($29 billion CAD) per month. 

Meanwhile, the Fed cited its decision to cut interest rates as a preemptive move to shield the US economy from global weakness and the trade dispute.

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