Market Monitor - 10 September 2021

Market Monitor – 10 September 2021

Stock markets around the world have spent most of the week on the back foot: concerns over slowing growth and a sluggish post-pandemic recovery have been to the fore again and share prices have displayed higher levels of volatility in the last few days.
In recent weeks, subpar economic data has tended to push values higher because investors think a weak global recovery from the Covid-19 crisis will mean central banks have to keep stimulus measures in place for longer – and postpone interest rate hikes.
But that link is looking increasingly tenuous this week, with the Federal Reserve, the Bank of England and the European Central Bank all signalling a possible tapering of market support despite the mixed economic picture that has emerged as a result of the Delta coronavirus variant.

The US

On Wall Street, the Dow Jones Industrial Average ended trading on Thursday 1.4% down for the week so far, with the S&P 500 losing 0.9%. In a week shortened by Monday’s Labor Day break, investors appear worried that the Fed will start to withdraw support despite the labour market and supply chain difficulties currently facing many sectors of the United States economy.
The number of job vacancies in the US hit a record high in July, with employers struggling to fill positions in order to meet demand.

The UK & Europe

In the UK, the FTSE 100 ended Thursday 1.6% down for the week, with a senior Bank of England official warning that interest rates may need to rise in 2022 to cope with persistent inflation. Boris Johnson unveiled new tax hikes to pay for Britain’s spiralling social care bill: as well as higher National Insurance rates for workers, they included a rise in tax on dividends for shareholders and company directors.

Halfords, meanwhile, became the latest retailer to warn of the impact of the global supply chain crisis on sales and profits. Its shares have fallen by nearly a quarter since hitting a high point in July.

In Frankfurt, the DAX index ended Thursday’s session down 1% for the week, while France’s CAC 40 lost 0.1%. The ECB this week voted to maintain current interest rates and but decided to scale back part of its bond-buying programme. New figures showed that investor confidence across the eurozone has taken a turn for the worse in September: it is now at its lowest level since April.


In Asia, the Hang Seng index in Hong Kong dipped 0.7% with early gains pared back by a 2.3% nosedive in Thursday’s session, prompted by reports that the Chinese government plans to continue its crackdown on online gaming addiction. The announcement that approval for new online video games would be temporarily suspended saw the shares in a number of technology businesses plummet: Tencent, one of the major players in the gaming sector, lost 8.5%. The mood among Chinese investors was not helped by the news that property giant Evergrande was reportedly on the brink of defaulting on some of its multi-billion-dollar debts.
Japan’s Nikkei 225 index of leading shares, on the other hand, was the week’s outlier, gaining 3% by close of trading on Thursday. Investors welcomed the news that Prime Minister Suga intends to resign before the beginning of October, and markets believe his successors could implement a looser fiscal policy. Prices in Tokyo were also boosted by exceptionally strong second-quarter growth figures in Japan.
September 3
September 9
Change (%)
FTSE 100
FTSE All-share
S&P 500
Dow Jones
CAC 40
Hong Kong Hang Seng
Nikkei 225
Note: all market data contained within the article is sourced from Bloomberg unless stated otherwise, data as at 9/9/2021.
10 September 2021
Mark King
Mark King
Head of Investment Content
Share article
Share on twitter
Share on linkedin
Share on email
Key topics
Related topics
Listen on Stitcher badge
Share article
Share on twitter
Share on linkedin
Share on email
Key topics
Related topics


Market Monitor – 10 September 2021

Important information

For marketing purposes.

This document is intended for informational purposes only and should not be considered representative of any particular investment. This should not be considered an offer or solicitation to buy or sell any securities or other financial instruments, or to provide investment advice or services. Investing involves risk including the risk of loss of principal. Your capital is at risk.  Market risk may affect a single issuer, sector of the economy, industry or the market as a whole. The value of investments is not guaranteed, and therefore an investor may not get back the amount invested. International investing involves certain risks and volatility due to potential political, economic or currency fluctuations and different financial and accounting standards. The securities included herein are for illustrative purposes only, subject to change and should not be construed as a recommendation to buy or sell. Securities discussed may or may not prove profitable. The views expressed are as of the date given, may change as market or other conditions change and may differ from views expressed by other Columbia Threadneedle Investments (Columbia Threadneedle) associates or affiliates. Actual investments or investment decisions made by Columbia Threadneedle and its affiliates, whether for its own account or on behalf of clients, may not necessarily reflect the views expressed. This information is not intended to provide investment advice and does not take into consideration individual investor circumstances. Investment decisions should always be made based on an investor’s specific financial needs, objectives, goals, time horizon and risk tolerance. Asset classes described may not be suitable for all investors. Past performance does not guarantee future results, and no forecast should be considered a guarantee either. Information and opinions provided by third parties have been obtained from sources believed to be reliable, but accuracy and completeness cannot be guaranteed. This document and its contents have not been reviewed by any regulatory authority.

In the UK: issued by Threadneedle Asset Management Limited, registered in England and Wales, No. 573204. Registered Office: Cannon Place, 78 Cannon Street, London EC4N 6AG. Authorised and regulated in the UK by the Financial Conduct Authority.

In Australia: Issued by Threadneedle Investments Singapore (Pte.) Limited [“TIS”], ARBN 600 027 414. TIS is exempt from the requirement to hold an Australian financial services licence under the Corporations Act and relies on Class Order 03/1102 in marketing and providing financial services to Australian wholesale clients as defined in Section 761G of the Corporations Act 2001. TIS is regulated in Singapore (Registration number: 201101559W) by the Monetary Authority of Singapore under the Securities and Futures Act (Chapter 289), which differ from Australian laws.

In Singapore: Issued by Threadneedle Investments Singapore (Pte.) Limited, 3 Killiney Road, #07-07, Winsland House 1, Singapore 239519, which is regulated in Singapore by the Monetary Authority of Singapore under the Securities and Futures Act (Chapter 289). Registration number: 201101559W. This advertisement has not been reviewed by the Monetary Authority of Singapore.

In Hong Kong: Issued by Threadneedle Portfolio Services Hong Kong Limited 天利投資管理香港有限公司. Unit 3004, Two Exchange Square, 8 Connaught Place, Hong Kong, which is licensed by the Securities and Futures Commission (“SFC”) to conduct Type 1 regulated activities (CE:AQA779). Registered in Hong Kong under the Companies Ordinance (Chapter 622), No. 1173058.

Columbia Threadneedle Investments is the global brand name of the Columbia and Threadneedle group of companies.


Related Insights

21 November 2022

Market Monitor – 18 November 2022

Global stock markets have given up some of their recent gains this week as concerns about slowing growth returned.
Read time - 3 min
14 November 2022

Market Monitor – 11 November 2022

Signs that inflation in the world’s biggest economy may have reached a peak sent global share prices soaring this week as investors hoped the pace of interest rate rises could soon start to slow.
Read time - 3 min
4 November 2022

Market Monitor – 4 November 2022

Global stock markets have begun November in a downbeat mood as hopes that central banks might soon start slowing the pace of interest rate rises have been dashed.
Read time - 3 min

You may also like

Investment approach

Teamwork defines us and is fundamental to our investment approach, which is structured to facilitate the generation, assessment and implementation of good, strong investment ideas for our portfolios.

Investing with us

Learn how and why you should invest with us at Columbia Threadneedle Investments.


For more information about Columbia Threadneedle Investments or our products please contact your adviser or our Client Service Desk here.