The CAC40 tends to have a strong month in April. Over the last 36 years, the index has gained 2.52% on average. This is the strongest-performing month for the French index. The second half of the month is also strong with an average return of 1.33% over the last 36 years and a maximum gain of 8.28%.

There is lots of uncertainty around markets at the moment including geopolitical risk with Russia, Ukraine, China, and Taiwan, which can impact European stocks. Furthermore, uncertainty surrounding US inflation and the US rate path compounds those risks and when you add banking sector strain you have a very complicated set of narratives to navigate.

However, being aware of strong seasonal patterns can be great information to have at your fingertips, so that you can act with extra conviction should market direction become clearer as these narratives resolve.

Major Trade Risks: The major trade risks have been outlined in the main body of the text as there are many risks circulating at the moment.

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