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Global financial markets gained as geopolitical and election risk accelerated through mid-July, with equities and bonds posting strong gains as inflation tempered and investors positioned for rate cuts by the US Federal Reserve in 2H24. Global equity markets gained as the concentration in large-cap technology broadened to include Financials, Cyclicals, and Small Caps; Italy, Japan, Singapore, and Brazil led regional equity market gains. Interest rates declined through mid-July as inflation data subdued and investors positioned for rate cuts by the US Federal Reserve in 2H24. The US Dollar declined against most currencies. Commodities posted mixed performance through mid-July, with Natural Gas posting a sharp decline in Energies while Oil also fell; Silver led gains in Metals while Soybeans led Agricultural commodity declines.

Hedge Funds posted gains through mid-July with the HFRX Market Directional Index gaining +1.48%, and the HFRX Global Hedge Fund Index gaining +0.87%.

• HFRX Macro Index gained +0.92%
• HFRX Equity Hedge Index gained +0.90%
• HFRX Relative Value Index gained +0.86%
• HFRX Event Driven Index gained +0.83% for the month.
  
  

Comments reference performance figures as of July 15th, 2024