Investment Market Update
Asian stocks fell in the wake of weakness in the US amid worse-than-expected corporate earnings and data. Equity markets in China were hardest hit but Japan bounced back from earlier losses as the yen weakened.
US stocks closed lower on Tuesday, after a number of key companies disappointed with their quarterly results, renewing concerns that the market's valuation may not be supported by economic activity.
UK stocks fell sharply yesterday after Theresa May announced plans to call a general election on 8 June. The pound rose strongly on the news as investors hope this supports a less pressured Brexit negotiation.
- Theresa May's plan for a snap general election on 8 June is set to be authorised by MPs later today. The early poll is expected to secure the two-thirds Commons majority it requires to go ahead, with Labour's Jeremy Corbyn welcoming the PM's surprise announcement on Tuesday. Mrs May said that she wanted to secure the backing of the British people for her Brexit negotiations.
- The world economy seems to be gaining momentum, according the chief economist of the International Monetary Fund. Maurice Obstfeldt said "we could be at a turning point". The report forecasts global growth this year of 3.5%, up from 3.1% predicted in 2016. The UK's economy is forecast to expand by 2% this year, stronger growth than any of the major developed economies apart from the US.
|FTSE All Share||3,924.93||-2.2%||1.3%||12.5%|
|FTSE Small Cap||5,450.02||-0.6%||6.0%||11.0%|
|St. James's Place||1,061.00||-0.5%||6.7%||3.9%|
|Euro Stoxx 600||376.35||-1.1%||4.1%||-1.2%|
|Dow Jones Ind||20,523.28||-0.6%||3.8%||13.4%|
|MSCI AC Asia Pacific||146.18||-0.5%||8.2%||2.3%|
|MSCI World (Developed)||1,837.34||-0.5%||4.9%||5.3%|
|MSCI AC World (Dev & Em)||445.31||-0.5%||5.6%||5.6%|
|MSCI Emerging Markets||957.70||-0.5%||11.1%||8.6%|
|MSCI AC World Value||199.76||-0.6%||2.8%||9.5%|
|MSCI AC World Growth||234.02||-0.4%||8.5%||1.8%|
|FTSE Gilts All Stocks||3,612.05||0.1%||2.5%||8.5%|
|FTSE Index Linked All Stocks||666.43||-1.6%||4.7%||21.2%|
|ML Sterling Corporate Bonds||390.94||0.0%||2.5%||10.7%|
|ML Global High Yield Bonds||354.56||0.1%||3.5%||15.0%|
|Brent Crude Oil||54.89||-0.8%||-6.1%||23.4%|
|Consumer Goods and Services||21,960.88||-1.8%||11.6%||9.6%|
|Oil & Gas||7,704.61||-3.2%||-9.9%||54.2%|
|$ per £||1.26||-1.4%||2.0%||-16.3%|
|€ per £||0.85||0.9%||-0.8%||-15.7%|
|¥ per £||0.73||1.4%||5.7%||-22.7%|
|VIX Index (Volatility)||14.42||-1.6%||2.7%||-22.9%|
|Baltic Dry Index||1,294.00||-0.2%||34.7%||101.1%|
|BoE Base Rate||0.25%|
|LIBOR (3 months)||0.00%|
|Consumer Price Index||2.30%|
|Retail Price Index||3.10%|
|Yields / Ratios|
|FTSE 100 Adj P/E||26.14|
|FTSE All Share Adj P/E||24.38|
|FTSE All Share Yld||3.95%|
|15yr Gilt Yield||1.38%|
|10yr Gilt Yield||1.01%|
|10yr US Tres Yield||2.17%|
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.
Source: FTSE International Limited ("FTSE") © FTSE 2017. "FTSE®" is a trade mark of the London Stock Exchange Group companies and is used by FTSE International Limited under licence. All rights in the FTSE indices and/or FTSE ratings vest in FTSE and/or its licensors. Neither FTSE nor its licensors accept any liability for any errors or omissions in the FTSE indices and/or FTSE ratings or underlying data. No further distribution of FTSE Data is permitted without FTSE’s express written consent.
Source: MSCI. MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indices or any securities or financial products. This report is not approved, endorsed, reviewed or produced by MSCI. None of the MSCI data is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such.