Cautious start to the year

The stock markets made a subdued start to the new year. The surprisingly strong US labour market data caused government bond yields to rise, leading to a certain degree of caution among investors. Against the backdrop of the still robust economic development and the slightly higher than expected US inflation in December, many market participants appear to be reconsidering their hopes of an interest rate cut. The central banks are also trying to curb any euphoria in this regard. According to statements by Jerome Powell, head of the US Federal Reserve, an interest rate cut is no longer expected in the market. The reporting season has been solid so far; as always, there is light and shade, but the majority of companies could meet expectations.

Our fund is also trading lower at the start of the year. We continue to expect volatile markets, but still consider the environment for quality stocks to be very attractive. As always, our hedges remain in place.