BOJ: How fast to “normal”?

The Bank of Japan (BOJ) board voted unanimously to hike interest rates by 25 basis points (bps) to 0.75%—a 30-year high—at the conclusion of its latest policy meeting on 19 December. The move was widely expected and had been priced into Overnight Indexed Swap (OIS) rates before the decision. The unanimous vote follows a 7-2 split when the BOJ kept rates on hold in October, signalling that policy views among board members have become more aligned.

The Year in Markets

Markets Recon's 2025 Year-End Review is here

Markets entered 2025 with both optimism and unease. US equities rallied in January as softer inflation - core CPI eased to 3.2% YoY - and strong bank earnings revived risk appetite, and Donald Trump’s return to the White House helped the S&P 500 enjoy its best start to a presidential term since 1985.

Yet there was caution beneath the gains. Asset managers flagged stretched US valuations and early rotations into defensives, even as consensus forecasts pointed to ~10% upside for the S&P 500 in 2025 - upside that did ultimately materialise.

January also delivered a sobering reminder of longer-term fragilities: global temperatures breached 1.6°C above pre-industrial levels for the first time. Late in the month, volatility returned when the introduction of China’s DeepSeek AI model wiped $589bn off NVIDIA’s market value, forcing investors to reassess AI pricing power, concentration risk, and diversification beyond mega-cap tech.

Equities: Stay Invested, Stay Diversified

CIO Weekly Perspectives | December 22, 2025 Equities: Stay Invested, Stay Diversified Looking back over the past...

The road ahead: Trends, risks and opportunities

Looking ahead to 2026, hear from Franklin Templeton Fixed Income CIO Sonal Desai, and several portfolio managers as they share their market expectations.

Monthly Macro: 2026 Economic Outlook

William Blair macro analyst Richard de Chazal discusses why 2026 looks brighter for the economy, exploring the impact of AI-driven investment, evolving policy risks, and the surprising strength of...

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Why a new economic regime calls for a reassessment of risk and rewards

PNC Healthcare: Capital Markets Update - September 2025

Explore market data and capital markets trends for nonprofit healthcare providers as the economic backdrop and interest rate outlook evolves.

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