Global markets were mixed on Friday, although in the US in a half session on the post-Thanksgiving holiday known as Black Friday, technology and retail stocks led the S&P 500 and Nasdaq to record closing highs.
Strength in markets has been driven by economic and earnings growth, and importantly low inflation and still-accommodative monetary policy have created a breeding ground for equity returns. As we have discussed previously, looking forward we see interest rate moves by the Fed as critical to driving markets (as a “policy error” with rates rising too fast could cause a sell-off in markets). On this front, the US Senate Banking Committee holds a hearing on Tuesday to confirm the nomination of Jerome Powell to succeed Janet Yellen at the helm of the Federal Reserve, and his comments will be watched closely.
Stock in Focus: Auckland Airport (AIA:NZ / AIA:NZ)
Shares in Auckland Airport were higher on Friday as it provided a monthly traffic update. Chine...
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