2016 and before
Quarterly markets review - Q4 2015
An overview of markets in Q4 2015, when global equities posted positive returns and the Federal Reserve finally raised interest rates.
- Global equities delivered positive returns for the fourth quarter despite generally poor performance in December. Government bond markets broadly reflected the policy trajectories of the world’s major central banks.
- US equities gained over the quarter. The Federal Reserve increased its main policy rate in December following strong domestic macroeconomic data.
- Eurozone equities posted positive returns overall, buoyed by hopes for further quantitative easing. However, the eventual announcement disappointed investors and weighed on returns in December.
- Japan was the best performing equity market over the quarter. A sharp rebound in October was driven by a recovery in cyclical sectors.
- Emerging market equities underperformed their developed world counterparts. The Chinese equity market posted a solid gain as the central bank provided further support to the economy. Economic data in Brazil continued to deteriorate.