Risk off mood deepens across markets

Chris Beauchamp IG

The tech rout has taken in other global markets, while precious metals are also suffering, says Chris Beauchamp, Chief Market Analyst at online trading and investing platform IG.

Stocks ending the week deep in the red

Given the importance of tech stocks to global markets, it is not surprising to see stock markets around the world ending the week with heavy losses. Even the FTSE 100, which managed to clock up a few gains this morning, and contains little connected with the AI mania, has fallen, and the rising tide of oil prices means that the instinct to keep selling into the close and beyond will remain strong. This week’s tech earnings might have restored the market’s faith in the AI story, but instead they have dealt it a further blow.

Precious metals whacked as oil prices surge

This week has seen a continuation of the pattern seen since the summer. Oil prices are rising while precious metals slump. Geopolitics, rising bond yields and accelerating inflation have wrought this, and with the US apparently poised to renew its war with Iran, we can expect these moves to intensify. In such a crisis, there are few safe havens.

Author

Chris Beauchamp

Chris Beauchamp has been with IG for four years, and in that time has become a regular commentator and analyst for the financial press and TV, with appearances on all the major financial channels as well as the BBC and Sky News.

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