Andreas Lipkow, Chief Market Analyst at CMC Markets, has commented on investor sentiment heading into the weekend amid renewed geopolitical and macro uncertainty.
With the upcoming weekend in mind, investors are taking a closer look at their portfolios and reducing unnecessary risk. The danger is simply too great that the weekend could bring both a renewed shift in the situation in the Middle East and renewed tensions between the U.S. and China. Crude oil prices are rising again, and the indicators for trading on Wall Street are also deep in the red.
The FTSE 100 cannot escape this trend. In the UK, too, investors are becoming more cautious ahead of the weekend and taking profits. Additionally, political concerns and fears of interest rate hikes are weighing on the financial markets.
In recent days, the situation has deteriorated both in domestic politics and in terms of yield levels in the bond markets. This is weighing on investor sentiment overall.
