The past few months were bananas in the global markets.
Things that were supposed to happen didn’t happen as things that no one saw coming did. In case you missed it, here are some highlights:
- China unexpectedly devalued its currency the renminbi (RMB).
- Stocks crashed with the Dow plunging over 1,000 points in a single day.
- The Federal Reserve announced it would delay rate hikes.
- Volkswagen was revealed to be using software to cheat emissions standards tests.
- Glencore shares crash as the viability of the mining giant’s operations are called into question.
- September’s US payrolls report flops.
- Everything else, including the risk of a US government shutdown, Russia bombs Syria, etc.
The markets are a funny beast because, not only are markets off of their lows, they’re almost all the way back to levels we were at at the beginning of the summer.
Here’s an annotated chart of the S&P 500, brent oil, and an index of emerging market currencies from Deutsche Bank.