Market Update Q2 2026

The April to June 2026 quarter delivered strong returns for investors despite geopolitical uncertainty, higher oil prices, and renewed inflation concerns.

Our latest Economic Commentary highlights an important reminder for investors: markets often respond very differently than many expect.

While conflict involving Iran pushed energy prices higher and influenced inflation expectations, global share markets remained resilient. The US S&P 500 returned 15.2% during the quarter, while emerging markets gained 24.1%, supported by continued investment in technology, infrastructure, and defence spending

Closer to home, New Zealand continued to navigate an uncertain inflation environment, with the Reserve Bank signalling that further increases in the Official Cash Rate may be required. The report also examines migration trends, noting that New Zealand's emigration rate remains consistent with its long-run average while net migration remains positive.

Perhaps the most important lesson is that successful investing is not about predicting headlines. The commentary explores why diversification, discipline, and remaining invested through changing market conditions continue to be key drivers of long-term investment success. Research highlighted in the report shows that a surprisingly small number of companies account for a significant share of wealth creation over time, reinforcing the value of broad diversification

For a deeper look at market performance, economic developments, and lessons from 100 years of investing, read our full Winter 2026 Economic Commentary