April 2025 Market Update

Overview

Global markets staged a strong rebound in April, overcoming a volatile start driven by renewed trade tensions. Early fears of a global trade war faded as the month progressed, helping risk assets recover sharply. UK investors benefited, with UK investors in global stocks seeing an impressive 8.3% total return.

Market turbulence was triggered by President Trump’s announcement of unexpectedly broad and punitive tariffs. This sparked a global equity sell-off and drove the VIX volatility index to 60 — its highest level since the onset of the pandemic in 2020.

However, sentiment improved markedly in the second half of the month as the White House adopted a more conciliatory tone, and macroeconomic data remained resilient across major economies. The combination of policy moderation and firm economic fundamentals fuelled a broad-based rally.

Full update below…