This week kicks-off with global PMIs, and the US ISM manufacturing and we will hear from the Fed’s Musalem later today. Eurozone unemployment and Trump’s speech to Congress and any tariff news will be watched closely on Tuesday, and Saudi Aramco releases its earnings report. The Chinese People’s Political Conservative Conference (CPPCC) starts on Tuesday and concludes the following Monday. On Wednesday morning the China Caixin services PMI print and eurozone services PMI and PPI will garner market focus, and later the US ADP employment, ISM services index and factory orders readings will be of interest. We also have the Fed’s Beige Book, China’s National People’s Congress (CNPC) where Premier Li Qiang may deliver the nation’s growth target for 2025. The ECB rate decision will be a focus for markets on Thursday, expectations are for a 25bp cut to 2.5%; President Lagarde’s new conference follows. US Treasury Secretary Bessent and the Fed’s Waller and Bostic speak on Thursday. China’s trade balance, the eurozone’s GDP, Germany factory orders and the all-important US employment report and consumer credit prints are due on Friday. The Fed’s Powell, Williams, Bowman and Kugler speak on Friday, and we will also hear from the ECB’s Centeno, Nagel, Panetta and Knot and the BoE’s Mann.
Last week trade tensions and prospects of a US economic slowdown saw yields across the US Treasury rally, the 10-year closed 22bps lower, at 4.21%, while the 2-year fell below 4%. The S&P Index gained 1.59% over the week paring the previous weeks’ losses. The dollar enjoyed a 0.94% gain through the week. Meanwhile, Brent crude closed 1.68% lower, at $73.18pb, amid supply resumption in certain regions and global economic growth concerns.
Fed officials uniformly advocate a cautious approach, with Goolsbee and Barkin emphasising a “wait-and-see” stance on Trump’s tariffs. Schmid expressed concern over inflation expectations, Hammack noted inflation remains above target, and Harker warned that tariffs could push prices higher while maintaining the current rate policy absent significant data changes.
Elsewhere, China’s equity market has become more investible following the DeepSeek news and private sector symposium with President Xi, despite facing challenges from US tariffs. New volatility emerged at the end of the week with the announcement of additional 10% tariffs coinciding with China’s Two Sessions. The PBoC has adopted a more accommodative monetary stance with net liquidity injections, while policymakers have committed to proactive macroeconomic policies focusing on domestic demand and market stabilisation. China is expected to raise its fiscal deficit target to 4% while potentially lowering its inflation target to 2%, providing more room for monetary easing. The manufacturing PMI rebounded to 50.2 in February. The RMB faces potential pressure as markets assess Beijing’s response to new tariffs.
Epic Investment Partner’s Key risks & Disclaimers:
EPIC Global Equity Fund (the “Fund”) is a sub-fund of EPIC Funds p.l.c. (the “Company”), which is an open-ended umbrella fund authorised in Ireland as a UCITS fund and regulated by the Central Bank of Ireland. This marketing material has been approved in the UK by EPIC Markets (UK) LLP, trading as EPIC Investment Partners, which is a limited liability partnership incorporated and registered in England and Wales under partnership OC306260 with its registered office at Audrey House, 16-20 Ely Place, London EC1N 6SN. EPIC Markets (UK) LLP is regulated by the Financial Conduct Authority. Distribution of this material and the offer of the Fund are specifically restricted in certain jurisdictions. In particular, but without limitation, neither this material nor shares in the Fund are available to US persons.
This document is for general information purposes only and does not take into account the specific investment objectives, financial situation or particular needs of any particular person. It is not a personal recommendation and it should not be regarded as a solicitation or an offer to buy or sell any shares in the Fund. This document represents the views of EPIC Investment Partners at the time of writing. It should not be construed as investment advice. Any person interested in investing in the Fund should conduct their own investigation and analysis of the Fund and should consult their own professional tax, accounting or other advisers as to the risks involved in making such an investment. Full details of the Fund’s investment objectives, investment policy and risks are set out in the Fund’s Prospectus and Supplement which, together with the Key Information Document (“KID”), are available on request and free of charge from Maples Fund Services (Ireland) Limited, 32 Molesworth Street, Dublin 2, Ireland and, in the UK, from EPIC Markets (UK) LLP, Audrey House, 16-20 Ely Place, London EC1N 6SN. Any offering of the Fund is only made on the terms of the current Prospectus, Supplement and KID. A subscription in the Fund can only be made after the provision of the KIID and should be made solely upon the information contained in the Prospectus, Supplement and KID.
An investment in the Fund is not suitable for an investor who cannot sustain a loss on their investment. There is no guarantee of the Fund’s future performance and past performance is not a reliable indicator of future performance. The value of your investment and the income derived from it can go down as well as up, and you may not get back the money you invested. The risks associated with making an investment in the Fund are described in the Prospectus and Supplement but investors should note, in particular, the following: 1) Foreign currency denominated investments are subject to fluctuations in exchange rates that could have a positive or an adverse effect on an investor’s returns. There is also a risk that currency hedging transactions for one share class may in extreme cases adversely affect the net asset value of the other share classes within the same sub-fund since there is no legal segregation between share classes; 2) The Fund is subject to the risk of the insolvency of its counterparties; and 3) Emerging market securities are subject to greater social, political, regulatory, and currency risks than developed market securities. This may impact the liquidity and value of such securities and, consequently, the value of the Fund.
MeDirect Disclaimers:
This information has been accurately reproduced, as received from EPIC Investment Partners. No information has been omitted which would render the reproduced information inaccurate or misleading. This information is being distributed by MeDirect Bank (Malta) plc to its customers. The information contained in this document is for general information purposes only and is not intended to provide legal or other professional advice nor does it commit MeDirect Bank (Malta) plc to any obligation whatsoever. The information available in this document is not intended to be a suggestion, recommendation or solicitation to buy, hold or sell, any securities and is not guaranteed as to accuracy or completeness.
The financial instruments discussed in the document is intended for retail clients however, it may not be suitable for all investors and investors must make their own informed decisions and seek their own advice regarding the appropriateness of investing in financial instruments or implementing strategies discussed herein.
If you invest in this product you may lose some or all of the money you invest. The value of your investment may go down as well as up. A commission or sales fee may be charged at the time of the initial purchase for an investment. Any income you get from this investment may go down as well as up. This product may be affected by changes in currency exchange rate movements thereby affecting your investment return therefrom. The performance figures quoted refer to the past and past performance is not a guarantee of future performance or a reliable guide to future performance. Any decision to invest in a mutual fund should always be based upon the details contained in the Prospectus and Key Information Document (KID), which may be obtained from MeDirect Bank (Malta) plc.
