Part 4/8:
In Europe, stock performance was mixed. The STOXX 600 index dipped by 0.1%, while the FTSE 100 gained 0.6%. Gold prices surged to a record high as investors sought safety in traditional assets amid market turbulence. Interestingly, major Wall Street banks benefitted from market volatility, with JP Morgan reporting a 9% Y-o-Y increase in quarterly net income and Morgan Stanley seeing a 26% rise in earnings, primarily fueled by equities trading.
However, concerns loomed large, as financial leaders, including JP Morgan's Jamie Dimon, cautioned about the potential for "considerable turbulence" in the market. The Treasury market, traditionally a safe haven, is currently exhibiting characteristics akin to emerging market debt, raising questions about its stability.