Weekly Round-Up, 5th January 2026

Welcome back to our first market update of 2026. From all of us at Magnus, we wish you a Happy New Year!

Global stock markets were relatively quiet over the final weeks of 2025. UK and European stocks finished the year strongly, once again leading returns. With many investors only just returning to their desks, the coming week is expected to remain quiet, with limited data due to be released, and markets taking stock of the outlook for the year ahead.

Last week

• With many off enjoying the festive period, macroeconomic and corporate news flow was light.
• Global markets ended 2025 broadly flat. UK and Europe equities finished the year up over 20%, while US markets delivered returns closer to 10%.
• Oil continued its 2025 trend, ending the year around 20% lower, whereas precious metals had one of their best years on record.
• Minutes from the US Federal Reserve’s December meeting were released, offering further insight into the December rate cut and the potential future path of interest rates.
• Chinese manufacturing PMI data, released on New Year’s Eve, came in broadly as expected.
• UK house price data for December showed price contraction, reinforcing observed weakness in the housing market.
• On the geopolitical front, developments involving Venezuela drew attention, with potential implications for energy markets.

Source: Bloomberg. Currency GBP.

This week

• As we enter January, markets will digest early December data releases, including US manufacturing and services PMIs, Eurozone inflation figures, and Japanese consumer confidence. On Friday, further delayed US data is expected to be released (following the government shutdown) and December jobs numbers.
• Investors will be interpreting and monitoring US involvement in Venezuela, where developments are likely to influence oil prices. PDVSA has already announced cuts to crude production.
• Berkshire Hathaway enters its post-Buffet era – after 60 years, Buffet is handing the reins over to Greg Abel. This has been a long-signalled succession plan, with Abel having already spent two decades in the business.
• Investors will be gearing up for the start of earnings season, with companies due to report Q4 earnings from mid-January

The value of investments and the income from them can go down as well as up and you could get back less than you invested. Past performance is not a reliable indicator of future performance.

The content of this article is not intended to be or does not constitute investment research as defined by the Financial Conduct Authority. The content should also not be relied upon when making investment decisions, and at no point should the information be treated as specific advice. The article has no regard for the specific investment objectives, financial situation or needs of any specific client, person, or entity.