• January 2001: Economic commentary on global equity markets
  The year 2000 ended up being the worst year for equity markets since 1990 when the Gulf Crisis took its toll on equity markets. Unlike that single event that put markets in a downward spiral, 2000 was more of a steady decline. The United States was in the middle of the storm, sparked initially by concerns relating to economic imbalances and more recently by the deteriorating outlook for corporate profits and the overvaluation in "new economy" shares. [ More... ]

• 4th Quarter 2001: The winds of change
  To say that 2001 was an eventful year would be an understatement. It was a year in which we bore witness to no less than 11 interest rate cuts by the USA Federal Reserve, bringing short-term interest rates in the USA down to 1.75% - their lowest level in over 40 years. [ More... ]

• 3rd Quarter 2001: The 18 minutes that changed the course of history
  I don't think that any of us will ever forget the events that took place in the United States of America on 11 September 2001. The unprecedented terrorist attacks on the World Trade Centre and on the Pentagon sent shock waves around the world, highlighting that no country is invincible, even the USA. These events, and their ramifications, will not be swept under the carpets of history. As I write this newsletter, the extent of the retaliation by the United States and its allies is still unknown and is yet to unfold. However, it appears as if a measured response as apposed to an open declaration of war may be evolving - many attribute this to the presence of Colin Powell, who will try to lend a measure of restraint in these unenviable times. [ More... ]

• 2nd Quarter 2001: Roller coaster ride - "keep your seat-belt fastened"
  The roller coaster ride continued through the second quarter of 2001, with few surprises for investors, as we had anticipated. Investor sentiment was given a much needed boost with the 6 interest rate cuts in the USA, for the year to date, and one in the European Union. We still believe that short-term volatility is here to stay - so keep your seat belt fastened. [ More... ]

• 1st Quarter 2001 - Roller coaster ride - "check your seat-belt"
  Global markets were in an upheaval during the first quarter of 2001, and still, the volatility continues. In periods of extreme volatility emotional reactions and perceptions tend to exaggerate the negative impact on the markets. Those who invested during 2000 may well have been experiencing some abdominal stress during the roller coaster's sharp dip in the tracks. The question foremost on everyone's mind is when will the markets bottom out and when will this bear trend end. The extent to which the prevailing negative trends will continue will depend on, amongst other factors, investor sentiment. [ More... ]