Investment Director’s bulletin – May 2012
The key drivers of the pull back in world equity markets were mixed economic data and negative political news, which heightened concerns that the fundamental risks to equities remain material.
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Weekly market recap – 14 May 2012
There has been much talk of a “growth compact” for the eurozone, but this means different things to different people. At one end of the spectrum is the German government/ ECB view, which has that sustainable growth can only result from government budget discipline and supply side reforms (eg reforming …
Weekly strategy report – 14 May 2012
Is it time to go overweight Europe? Every investor’s favourite regional equity bet seems to be underweight Europe against overweight the US. We agree, and are positioned in line with consensus.
Weekly stock market report (28 April – 4 May 2012)
US: Economic worries knock sentiment US stocks fell last week as concerns over the strength of the economic recovery hit sentiment. The Dow Jones was 1.4% lower, while the S&P 500 had its worst week of 2012 so far, falling 2.4%. The NASDAQ underperformed, losing 3.7%, as technology stocks succumbed …
A market perspective : Seatbelts fastened
Muted reaction so far to elections in Europe, but elevated potential for turmoil in the region at least until legislative elections in France next month. Though earnings surprises were as good as those in the US (around 6%), this just meant “less bad” for Europe as opposed to “even better” in the US.
Weekly strategy report – 7 May 2012
European voters delivered their verdicts on existing governments in four European countries last week: the UK (local elections), Germany (state election), France and Greece. The most important was the second round of the French presidential elections on Sunday, with François Hollande, the socialist candidate expected to have won.
Weekly market recap – 7 May 2012
Despite the euro peripheral debt crisis, the single European currency has been relatively strong against the US, British and Japanese currencies. This reflect the broadly neutral current account balance, thanks to large surpluses in Germany and the Netherlands that counteract the deficits in most of the other eurozone countries, and the poor fiscal position of the other major economies.
Investment Director’s bulletin – April 2012
A strong first quarter, but uncertainty over what to do next… The first three months of 2012 have been strongly positive for global equities, with the MSCI World Index rising some 10% (in US dollar terms). However, global equities ended March only marginally higher month on month. The flattening out …
Monthly investment outlook – May 2012
European politics seem to be at a turning point. The beginning of May saw a number of elections across Europe, with the results pointing towards looser fiscal policy. France has elected a new socialist president, who campaigned on a policy shift from austerity to growth.
Monthly market review and themes – April 2012
Political developments in Europe, and weaker economic data globally, negatively impacted on investor confidence in April. Sentiment, however, was supported by stronger than expected first-quarter earnings announcements.
