Fisher Investments Reviews: Last Week in Markets—February 23 - February 27

In the US, economic data were light. On Saturday, President Trump announced the US and Israel initiated airstrikes against the Iranian regime. Iran retaliated with missile strikes targeting Israel and Persian Gulf countries with US military bases. War is tragic and no one knows exactly how this conflict will unfold from here. But uncertainty and heightened geopolitical risk aren’t automatic reasons to be bearish. We will monitor developments closely, but patience and personal fortitude in moments such as these are integral to long-term investing success.

In the eurozone, final January consumer headline inflation data confirmed a deceleration to 1.7% y/y, matching the preliminary estimate. Final January core consumer inflation (which excludes energy, food, alcohol and tobacco) slowed to 2.2% y/y, also in line with the initial reading. January money supply (M3) expanded 3.3% y/y, higher than forecasts.

In Japan, January preliminary industrial production increased 2.2% m/m and 2.3% y/y. January preliminary retail sales grew 4.1% m/m and 1.8% y/y. January imports fell 2.4% y/y while exports rose 16.8% y/y.

The Week Ahead

The US, UK, eurozone, Japan and China release final February purchasing managers’ indexes (PMIs). The eurozone reports preliminary February consumer inflation. The UK releases January money supply (M4). Japan and the eurozone post January unemployment rates. The US and eurozone announce January retail sales. The US also releases February nonfarm payrolls and the unemployment rate.

Source for all data cited is FactSet. This update constitutes the general views of Fisher Investments and should not be regarded as personalized investment advice. No assurances are made we will continue to hold these views, which may change at any time based on new information, analysis or reconsideration. In addition, no assurances are made regarding the accuracy of any forecast made herein. Global equities are represented by the MSCI World Index. The MSCI World Index measures the performance of selected stocks in 23 developed countries and is presented net of dividend withholding taxes and uses the maximum rate applicable to non-resident institutional investors who do not benefit from double taxation treaties. Past performance is no guarantee of future results. A risk of loss is involved with investments in stock markets.