Investment Market Update
Asian stocks and currencies fell as a spike in US Treasury yields to levels unseen since 2011 tests investors’ nerves.
US stocks began the fourth quarter on a positive note after a last minute deal to salvage Nafta helped ease trade fears. General Electric rose 7.1% after replacing chief executive John Flannery with Larry Culp, who investors hope can transform the company's portfolio more quickly.
UK stocks closed higher. Some of the biggest movers were ITV and Tesco. ITV, maker of Love Island, is the second best performer, rising more than 3% after dismissing reports it would not bid for Endemol Shine, maker of Big Brother. At the other end of the blue chip index, Tesco was down more than 8% as investors express disappointment at its half-year profit figures.
- Prime Minister Theresa May’s officials are drawing up plans to rush her Brexit deal through Parliament in an attempt to head off a rebellion from her own party, according to people familiar with the matter.
- There’s a powerful person in Washington besides the president who can barely contain his enthusiasm for the US economy. It’s the man Donald Trump appointed to head the Federal Reserve and whom he’s attacked for raising interest rates: Jerome Powell. In what Fed watchers say was unprecedented four public appearances over the past week, Powell repeatedly lauded the economy’s performance, calling it “remarkably positive,” “extraordinary” and “particularly bright.” And he said he expected the good times to continue.
|FTSE All Share||4,127.55||0.4%||-2.2%||9.0%|
|FTSE Small Cap||5,815.46||-0.1%||-1.6%||14.9%|
|St. James's Place||1,150.50||0.8%||-6.2%||20.9%|
|Euro Stoxx 600||383.84||0.5%||-1.4%||7.7%|
|Dow Jones Ind||26,828.39||0.2%||8.5%||25.1%|
|MSCI AC Asia Pacific||162.52||-0.7%||-6.5%||28.7%|
|MSCI World (Developed)||2,183.63||0.0%||3.8%||20.1%|
|MSCI AC World (Dev & Em)||523.46||0.0%||2.0%||21.6%|
|MSCI Emerging Markets||1,035.04||0.2%||-10.7%||34.2%|
|MSCI AC World Value||219.13||0.0%||-2.2%||15.2%|
|MSCI AC World Growth||293.97||0.1%||6.2%||28.3%|
|FTSE Gilts All Stocks||3,541.06||-0.2%||-1.3%||3.0%|
|FTSE Index Linked All Stocks||636.76||-0.2%||-1.7%||2.3%|
|ML Sterling Corporate Bonds||393.32||-0.1%||-1.9%||5.7%|
|ML Global High Yield Bonds||379.62||0.0%||0.6%||9.7%|
|Brent Crude Oil||86.29||1.8%||35.6%||14.5%|
|Consumer Goods and Services||20,084.37||0.6%||-10.2%||13.6%|
|Oil & Gas||9,972.96||0.3%||10.1%||6.0%|
|$ per £||1.30||-0.1%||-3.9%||9.5%|
|€ per £||1.12||-0.4%||-0.2%||-4.0%|
|¥ per £||147.62||-0.6%||-3.0%||5.3%|
|VIX Index (Volatility)||11.61||-3.7%||5.2%||-21.4%|
|Baltic Dry Index||1,574.00||0.3%||15.2%||42.1%|
|BoE Base Rate||0.75%|
|LIBOR (3 months)||0.80%|
|Consumer Price Index||2.70%|
|Retail Price Index||3.50%|
|Yields / Ratios|
|FTSE 100 Adj P/E||12.59|
|FTSE All Share Adj P/E||12.59|
|FTSE All Share Yld||4.12%|
|15yr Gilt Yield||1.73%|
|10yr Gilt Yield||1.57%|
|10yr US Tres Yield||3.18%|
Market prices will reflect the last closing prices with the exception of the Asian markets which may be still trading at the time the data is obtained. The data for these markets is therefore a snapshot of live trading data obtained between 06.45 and 07.15 GMT. Growth is shown cumulative and is not annualised. A positive currency movement indicates the £ appreciating against the other currency. Performance data does not account for the re-investment of dividends. This information has been reproduced by kind permission of Bloomberg and does not necessarily reflect the opinions of St. James's Place Wealth Management. St. James's Place considers the information to be reliable but it is not intended to provide a sufficient basis on which to make an investment decision.
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