What’s Hot, What’s Not: A Well-Rounded Hot List, China Leads, UK Sectors Struggle [Sector Edition]

What’s Hot

• A nice spread of sectors in the hot list this month.
• China takes the lead, benefiting from a de-escalation in US/China tensions and renewed investor confidence, which also lifts the broader Asia region into the top 5.
• Commodities had a strong month, driven by another rally in precious metals which continues to attract attention amid economic uncertainty.
• Tech kept up its momentum with another solid performance.

What’s Not

• Nothing too catastrophic, but the list is largely dominated by sectors in the UK.
• Index-Linked Gilts top the underperformers, weighed down by inflation concerns and broader fiscal uncertainty around the UK government.
• UK Smaller Companies struggled, often a better barometer of sentiment in the UK market vs large cap peers.
• India lost some momentum in July after a strong run earlier in the year.

What’s Hot

What’s Not