image image

Multi-asset chart of the week

Multi Asset chart of the week

12 August 2026 Multi-asset
Week to 14 August 2026

Japanese Yen remains in focus following large-scale coordinated US-Japan interventions

Shantnu Tandon, Portfolio Manager, said: “Japanese monetary policy and the yen remain key market focal points following the late-July coordinated US-Japan intervention The yen's initial rebound has faded as wide rate differentials with the US, fiscal concerns, and geopolitical risks continue to weigh on the currency Sharp currency and rate moves can trigger broader market dislocations, as demonstrated by the 2024 carry trade unwind and subsequent market volatility. While the backdrop differs today, an accelerated BOJ tightening cycle could create spillover risks across global markets.”

MAW 11 AUg 26.png

Source: Insight Investment, Bloomberg as at 11 Aug 2026.

Week to 07 August 2026

The July momentum drawdown was one of the deepest and fastest drawdowns since 2009

Stephanie Chan, CFA, Portfolio Manager, said: “In July, the gap between high- and low-momentum US stocks experienced one of its largest and fastest drawdowns since 2009. Momentum measures the performance of stocks that have been rising versus those that have been falling. AI-related stocks, particularly semiconductor companies, had surged since early 2025 but had sold off sharply in July as investors grew concerned about crowded positions and whether strong chip demand and earnings growth can continue.”

COW08AUG2.png

Source: Insight Investment, Morgan Stanley, Bloomberg as at 03 Aug 2026.

Back to top