European equities have rebounded since our last Equity Committee meeting on 10 March, thanks to a significant easing of geopolitical tensions, driven by a temporary ceasefire between the US and Iran in early April.

Financial markets have entered a regime where escalation and de-escalation are no longer discrete events, but part of a repeating pattern. The war in Iran has not evolved linearly; it has oscillated, with periods of intensity followed by temporary pauses, each feeding renewed uncertainty rather than resolution.

March was dominated by the Middle East shock, as the escalation of the US-Iran conflict and disruption around the Strait of Hormuz pushed energy prices sharply higher and reignited inflation concerns globally.

We maintain a neutral stance on US duration. Uncertainty around the conflict, the path of oil prices, and the Fed reaction function still argue against taking a strong strategic view on nominal Treasuries.

Market, regulatory, and geopolitical trends are influencing the way investors are engaging with investee companies. In 2025, shareholders sponsored fewer resolutions, while large institutions withdrew from some large collaborative initiatives, causing them to be restructured or cancelled.

Back to fundamentals

In an environment marked by shifting correlations, macro uncertainty and episodic volatility, traditional portfolio constructions are facing increasing limitations. The diversification benefits of equities and bonds have become less reliable, prompting investors to seek new sources of return.

Since the end of February, global credit markets have been driven by the escalation of the US-Iran conflict and rising tensions across the Middle East. While geopolitical risks are not new, the intensity and speed of this episode took markets by surprise.

Since late February, global markets have been shaped by renewed geopolitical tensions in the Middle East, triggering a sharp increase in oil prices and reigniting inflation concerns.

The main focus remains the ongoing situation in the Middle East, and any signs of an agreement.

The war in Iran and signs of a diplomatic solution will remain investors top focus.

If you ask a fixed income investor to describe the credit cycle, most will readily cite its four familiar phases: Repair, Recovery, Expansion and Downturn. Knowing the terminology is straightforward. The more relevant question is: why does it matter for portfolio outcomes?

Investors will look forward to the outcome of the ongoing peace negotiations.

As the war in Iran has entered its fourth week, investor attention will remain firmly on the Strait of Hormuz and its implications for global energy flows.

Global macro conditions remained broadly constructive in February, although the backdrop was increasingly shaped by policy uncertainty and a more uneven regional growth mix.

Market dynamics continue to be dominated by geopolitical developments and the evolution of the conflict in the Middle East, primarily via its impact on oil prices.

Financial markets have entered a phase where geopolitics, commodities and monetary policy are interacting more directly than at any point in recent years.

European equities have fallen significantly since our last Equity Committee held on 10 February.

As the war in the Middle East enters its third week, investor attention will remain firmly on the Strait of Hormuz and its implications for global energy flows.

The war in the Middle East will dominate investor attention, as energy price dynamics will shape the outlook for inflation, growth and policy responses.

Explore Candriam’s disciplined approach to credit investing. Learn how issuer research, ESG integration and risk visibility help navigate volatility and construct resilient fixed income portfolios.

If brand value is image, reputation, and a track record of quality, the higher the price of the product, the more important that image is for pricing and profit. And the more susceptible to negative news which might affect that image.

Why are we engaging with companies on their supply chains? Their supply chains have unique and high-risk elements. These come into focus was we look at our larger engagement campaign on supply chains generally.

Artificial Intelligence agents are moving beyond assistance and into execution. The emergence of AI agents such as Claude Cowork has intensified a debate among investors: could parts of the SaaS ecosystem risk structural disintermediation?

The State of the Polarized Union