Looking back at the markets through April 2021

A selection of articles looking back through the markets last month. Global Market Review Optimism drives share prices in April Global equity markets generally rose during April, buoyed by encouraging economic data from the US. The International Monetary Fund (IMF) upgraded its forecasts for global growth from 5.5% to 6% in 2021 and from 4.2% … Continue reading “Looking back at the markets through April 2021”

The pandemic has a further sting

Equity markets are discounting a fast pace of recovery in the second half of 2021. But investors need to watch out for those countries where lockdowns will need to intensify. The virus is not defeated yet. According to the European Centre for Disease Prevention, in the last two weeks, India experienced 4.8 million new cases of … Continue reading “The pandemic has a further sting”

Looking back at the markets through March 2021

A selection of articles looking back through the markets last month.  Global Market Review “Light at the end of the tunnel”? The global economic outlook has improved, according to the Organisation for Economic Cooperation & Development (OECD), which upgraded its growth forecasts, as vaccine rollouts gain momentum and governments – particularly the US – provide … Continue reading “Looking back at the markets through March 2021”

Why you should know your index

The FTSE 100 has been a relative underperformer because of its high weighting in financial and commodity companies. The indices that have outperformed have businesses that look to the future. The last few years have seen wide divergence in the performance of different international equity indices. Over the last five years, Nasdaq – the world’s … Continue reading “Why you should know your index”

The virus is still costing the economy dear

Despite the equity market exuberance as vaccines boost recovery hopes, the spread of Covid-19 is still having a significant economic impact and will have for some time to come. Equity markets are well advanced in pricing in a strong economic recovery this year from the lockdowns on both sides of the Atlantic. It still seems … Continue reading “The virus is still costing the economy dear”

Looking back at the markets through November 2020

A selection of articles looking back through the markets last month. Global Market Review A November to remember It was a November for investors to remember as a widespread focus on the perceived safe havens of gold and government bonds was replaced by renewed interest in equities. Many major equity markets notched up double-digit gains … Continue reading “Looking back at the markets through November 2020”

How the 2020 global share slump and recovery ranks in history

Stocks saw a record crash followed by a record rebound in 2020, creating some disparity between markets. The global stock market crashed at a record speed in early 2020 (Figure 1). On its way to a total decline of 34%, it clocked up a 30% loss in just 40 trading days. This is faster than … Continue reading “How the 2020 global share slump and recovery ranks in history”

Care needed with big power politics

The pandemic and the stimulus packages have preoccupied markets for most of this year but risks relating to the aims of the great powers are too important to ignore. The growing tensions between China and the US are likely to characterise the Biden era as much as Trump. One of the few things Democrats and … Continue reading “Care needed with big power politics”

Looking back at the markets through October

A selection of articles looking back through the markets last month. Global Market Review The “second wave” breaks Share prices fell heavily around the world during October as Covid-19 infection rates continued to rise. Governments intensified their lockdown measures, triggering concerns over prospects for economic recovery. “In the UK, rising infection rates led the Government … Continue reading “Looking back at the markets through October”

Looking back at the markets through September

A selection of articles looking back through the markets last month. Global Market Review Rising infection levels knock sentiment Share prices generally fell during September amid concerns over rising infection levels and their potential impact on economic activity. Investors’ worries were compounded by doubts over Brexit negotiations, continuing friction between the US and China over … Continue reading “Looking back at the markets through September”

Looking back at the markets through August

A selection of articles looking back through the markets last month. Global Market Review   Share price rises defy an uncertain outlook Global share prices generally rose during August as investors took heart from ongoing fiscal and monetary support alongside some encouraging economic data. Nevertheless, the global economic outlook remains “highly uncertain”, according to the World … Continue reading “Looking back at the markets through August”

Looking back at the markets through July

A selection of articles looking back through the markets last month. Global Market Review  The other “R” number … Recession Early in July, investors were buoyed by news of progress in the development of coronavirus vaccines. However, as the month continued, optimism was tempered by a surge in infection rates in countries including the US, … Continue reading “Looking back at the markets through July”

The performance of world markets in the pandemic

Equity-market performance around the world has diverged in response to government stimulus measures and those exposed to the digital revolution. At the end of July, the S&P 500 index of larger US company shares pushed ahead of its starting level this year. Nasdaq powered on, forming more new highs. It has now delivered a 22% … Continue reading “The performance of world markets in the pandemic”

Looking back at the markets through May

A selection of articles looking back through the markets last month. Global Market Review Pandemic continued to dominate markets The rebound in equity markets extended into May. The impact of the COVID-19 pandemic continued to dominate markets, with an increasing focus on how countries would begin to relax their lockdown measures and how this would … Continue reading “Looking back at the markets through May”

The shape of recovery

V, W, U or L? As the bear market continues, we’re looking ahead at the potential shape of economic recovery  – and what each different shape might mean for investors. V is for velocity Given the dramatic rises in stock markets in the past month, many investors may be hoping for a “V” shaped recovery. … Continue reading “The shape of recovery”