Newsletter 15 August 2025
In this edition of GAM Talks:
👋 Farewell and thank you to our interns David, Oyin, Ashimi and Chloe who joined us through the 10,000 Black Interns programme.
🍍💄 Pricing fatigue - Despite a deepening consumer slowdown in Europe, our European Equities Team highlights how we continue to see strong pricing dynamics in sectors with attractive supply/demand dynamics, supporting growth expectations.
🏀 Have markets become invincible? - Julian Howard's latest blog on how a new wave of investors may be fuelling the resilience of equities.
📱 The earnings burden - Julian Howard on the Technology sector broadly delivering versus expectations.
Our People
Farewell to this years' intake from our collaboration with the 10,000 Black Interns programme
Farewell to David, Oyin, Ashimi and Chloe who completed their internships last week in the London office. It was a very successful 6 weeks, packed with learning and insights, including a visit to the Bloomberg office, an intern day at UBS, and several Lunch & Learn sessions with different teams across the GAM business. There was even time for them to play some padel and engage in other social activities at GAM. We wish them all the very best of luck.
Latest Insights
Pricing fatigue - First the consumer, now signs of deterioration elsewhere?
Europe’s consumer slowdown is deepening as pricing fatigue spreads across sectors once deemed resilient, says GAM Investments’ European Equities team.
"We continue to see strong pricing dynamics in sectors with attractive supply/demand dynamics, supporting growth expectations. In civil aerospace, engine suppliers continue to benefit from above inflation pricing for spare parts and spare engines due to the slow ramp up of new aircraft due to supply constraints, which is likely to persist for several more years." - European Equities team
Have markets become invincible?
Despite everything thrown at them so far in 2025, equities have quickly recovered from setbacks. Beyond the US economic and corporate earnings picture, a new wave of forum-driven and gamified app investors may be fuelling this resilience. But how would these relative newbies react in any real market crisis?
"Despite everything thrown at them so far this year, stockmarkets soon recovered from setbacks. Beyond the US economic and earnings backdrop, a new wave of gamified app investors could be a factor. But how would these relative newbies react to any market crisis?" - Julian Howard
The earnings burden
The S&P 500 scraped through last week with mixed results. Although the broader market was down by -2.4%, driven in large part by more tariff melodrama and disappointing jobs figures (for which the Commissioner of the Bureau of Labor Statistics ironically lost her job), the Technology sector broadly delivered versus expectations during a crucial week of earnings announcements.
"Both Meta and Microsoft remain committed to enormous spending on artificial intelligence which is where they and their rivals see tomorrow’s revenue principally accruing from" - Julian Howard
For more expert insights visit our website gam.com/our-thinking.