Monthly markets review - October 2017

A look back at markets in October 2017 when global equities made further progress.


Investment Communications Team

Investment Communications Team

  • Global equities made further progress in October. Several major indices set new record highs, while volatility reached an historic low.
  • US equities were supported by economic data that remained positive despite the disruption caused by hurricanes Harvey and Irma. The technology sector was buoyed by strong results.
  • Eurozone equities gained. The economic backdrop remained encouraging and the central bank announced that quantitative easing will be extended to September 2018 but the pace of purchases would be reduced.
  • In the UK, resources sectors led the market higher as Chinese macroeconomic data remained supportive and crude oil prices continued to rebound.
  • In Japan, the TOPIX advanced as investors reacted positively to Prime Minister Abe’s general election victory late in the month.
  • Emerging markets posted a strong return with ongoing strength in global growth proving supportive. South Korea and Taiwan performed well with technology stocks registering robust gains.
  • US yields edged higher on growing expectations of progress toward fiscal reform, while Bunds dropped as the European Central Bank announced tapering of bond purchases.

Important information

This communication is marketing material. The views and opinions contained herein are those of the named author(s) on this page, and may not necessarily represent views expressed or reflected in other Schroders communications, strategies or funds.

This document is intended to be for information purposes only and it is not intended as promotional material in any respect. The material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. The material is not intended to provide, and should not be relied on for, accounting, legal or tax advice, or investment recommendations. Information herein is believed to be reliable but Schroder Investment Management Ltd (Schroders) does not warrant its completeness or accuracy.

The data has been sourced by Schroders and should be independently verified before further publication or use. No responsibility can be accepted for error of fact or opinion. This does not exclude or restrict any duty or liability that Schroders has to its customers under the Financial Services and Markets Act 2000 (as amended from time to time) or any other regulatory system. Reliance should not be placed on the views and information in the document when taking individual investment and/or strategic decisions.

Past Performance is not a guide to future performance. The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested.  Exchange rate changes may cause the value of any overseas investments to rise or fall.

Any sectors, securities, regions or countries shown above are for illustrative purposes only and are not to be considered a recommendation to buy or sell.

The forecasts included should not be relied upon, are not guaranteed and are provided only as at the date of issue. Our forecasts are based on our own assumptions which may change. Forecasts and assumptions may be affected by external economic or other factors.

Issued by Schroder Unit Trusts Limited, 31 Gresham Street, London, EC2V 7QA. Registered Number 4191730 England. Authorised and regulated by the Financial Conduct Authority.