Rathbone Funds

On the ground research through the US heartlands.

Will the big central banks making significant interest rate announcements this week follow the ECB’s lead and signal that rates have now peaked? And where might rates settle longer term?

With an array of UK retailers struggling and the housing market slump deepening, the team discuss managing exposure to the UK and why they are keeping an eye on the escalating government clampdown on Airbnb. Also, in recognition of National Inclusion Week, the team share how they think about diversity when investing and why Nike, one of the few consumer stocks they hold, is one company that has navigated this area successfully.

Like virtually everything else, the cost of energy is much higher than it used to be. Combined with higher interest rates, it should keep squeezing economic growth in the coming months.

Hopes for a quiet summer were dashed by difficult-to-read economic data, swinging bond yields and holiday dramas.

The team cast their minds back to the days before we knew what COVID was and when inflation was considered conquered to review an investment report they published in 2019 called Ditch the Models. Which of these models the team suggested ditching panned out the way they expected? And are there any others that could do with being ditched today? The swiftly growing animal health sector is the final topic as the team discuss how to avoid the dogs in the space and hopefully end up as the cats who got the cream.

Rather than a slow fade, the American economy produced a surprise surge. Yet with inflation within touching distance of the 2% target, US interest rates may still peak soon.

Rathbones Group Plc announces the appointments within Rathbones Unit Trust Management Limited (RUTM) of Jayne Rogers as Executive Chair and Tom Carroll as Chief Executive. Jayne will also take on the role of Chief Distribution Officer, Rathbones Group Plc. This is subject to FCA approval. Both Jayne and Tom will be based in the London office.

Interest rate hikes for the US and Europe are almost certain this week. All major central banks are getting close to calling time on rate increases, but the UK is likely to be the last to do so.

Inflation is falling nicely in the US, will British CPI follow suit this week? Meanwhile, China battles deflation as its economy stutters.

The chemicals sector is often the canary in the economic coal mine, so a spate of profit warnings spark a discussion among the team. Meanwhile, is the pent-up demand from COVID-delayed elective surgeries finally coming on stream, and what would it mean for med-tech companies? Finally, the team takes a deep dive on German industrial giant Siemens, which has spent a decade reshaping its business.