13/10/2025
Global markets appear to be entering a short-term valuation adjustment phase, particularly among AI-driven and tech-focused companies that have surged to record highs in recent months.
Recent commentary from major institutions, including the Bank of England, highlights growing awareness of valuation risk in sectors such as semiconductors (NVIDIA, AMD, ASML), cloud computing (Microsoft, Amazon, Alphabet), and AI software (Palantir, C3.ai). These areas may experience continued re-pricing as investors reassess expectations.
At the same time, we’ve observed volatility across commodities and cryptocurrencies. On October 10, 2025, the crypto market saw a sharp correction — Bitcoin (BTC) and Ethereum (ETH) declined roughly 15 %, while some smaller altcoins fell significantly more.
Commodities have shown mixed performance:
Gold continues to act as a traditional safe-haven asset, attracting steady interest as uncertainty increases.
Copper and Silver have softened, reflecting slower industrial momentum linked to reduced AI-related manufacturing demand.
Oil remains range-bound as global growth expectations cool slightly.
In the bond market, we’re seeing renewed interest in US Treasuries and UK Gilts, as investors rotate toward stability. This is typical in a “risk-off” phase where defensive positioning helps preserve value.
Periods like this often create strategic opportunities for investors who can look beyond short-term volatility. Once the market stabilizes, re-entry into quality assets — across equities, bonds, or gold — can form part of a balanced, forward-looking portfolio.
