Insights

Weekly Market Commentary – 18th September 2026

18 September 2026

This week saw the Federal Reserve and the Bank of Japan follow the ECB’s lead in hiking interest rates in response to persistently high inflation. The Bank of England held rates but made it clear the UK is also now in a hiking cycle. The shift in mood across the UK and Europe has been clear, but the US rate decision cleared up any lingering doubt about whether new Fed chair Kevin Warsh shares this priority. Strong jobs figures and economic growth made the decision easier. President Trump railed against the decision and called for interest rates of 1%, though Warsh was spared the personal attacks Trump directed at former chair Jerome Powell.