Weekly Market Review – 05th of August 2024

In the US, the Federal Reserve had its July meeting last week. As was expected, there was no change to the interest rate, which remains at 5.50%. However, markets are now hopeful that a rate cut will take place at the September meeting. In equity markets, for the week the S&P 500 closed -2.40% lower, while the NASDAQ closed -4.18% lower. In Europe, GDP figures for Q2 2024 were released for some of the major economies across the Euro zone. In the UK, the Bank of England made its first interest rate cut in four years, ending one of the country’s most austere rate hike cycles. For the week, European and UK equities closed lower, between -1.82% and -4.94%. In Ireland, the final report for the All-Island Strategic Rail Review was released, while Bank of Ireland and AIB announced earnings for Q2 2024. In Asia-Pacific, The Bank of Japan last week raised its benchmark interest rate to 0.25%, at a time when major Central Banks are in the process of cutting rates. Meanwhile in China manufacturing activity fell for the third straight month in July.