Worldwide markets remain resilient after this weekend's terrorist attacks in Paris

By Joe Williams, CFA Director of Investment Strategy - The Commerce Trust Company

November 16, 2015
Joe Williams, CFA

Many investment analysts are echoing similar sentiments this morning that terrorist events tend to have very limited long-term impact on the worldwide economy and markets. With some minor exceptions, worldwide markets have generally taken measured responses and have not by any means overreacted to the events in Paris this past weekend.

  • Worldwide markets have learned to adapt to geopolitical instability brought about by terrorist attacks.
  • While oil prices are already weak compared to historic norms, little significant impact is expected on worldwide petroleum supplies.
  • While there may be temporary market sell-offs in French stocks, particularly in tourism, consumer retail names are likely to remain stable.
  • Investors would be better off to keep an eye on the continued economic slowdowns in China and Japan. Japanese economic data officially indicated it has entered recession.
Disclosures
  • Past performance is no guarantee of future results, and the opinions and other information in the investment commentary are as of November 16, 2015. This summary is intended to provide general information only and is reflective of the opinions of The Commerce Trust Company Investment Policy Committee. This material is not a recommendation of any particular security, is not based on any particular financial situation or needs, and is not intended to replace the advice of a qualified attorney, tax advisor or investment professional. Diversification does not guarantee a profit or protect against all risk. Commerce does not provide tax advice or legal advice to customers. Consult a tax specialist regarding tax implications related to any product and specific financial situations.
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