Risk Assets Rise as Inflation Fears Ease

Global equity markets saw broad advances last week, driven by softer-than-expected US inflation data and a sharp rise in expectations that the Federal Reserve will not hike interest rates this year.

The S&P 500, Nasdaq, and Philadelphia Semiconductor Index all posted gains, while European equities lagged with more muted advances.

Commodities also broadly recovered, with WTI crude reclaiming the $80/barrel level and agricultural prices bouncing significantly. Wheat rose 5.35%, corn increased by 4.73%, but Henry Hub natural gas fell 4.37%.