Market Update Week Ending 6 November 2020

After a difficult last week of October, the major global equity markets bounced back last week despite the uncertainty of the US Presidential Election result.  In the United States, the major equity markets posted their best weekly performance since April.  The Dow Jones 30 gained 6.9%, while the S&P 500 and the Nasdaq jumped 7.3% and 9.1% respectively.

Weekly performance up to 6 November 2020
FTSE 100 (UK) +6.0%
Dow 30 (US) +6.9%
Euro Stoxx 50 (Europe) +8.3%
Nikkei 225 (Japan) +5.9%

In fact, if you look over the last two weeks period, many of the major equity markets are slightly ahead of where they were.

Two-weekly performance up to 6 November 2020
FTSE 100 (UK) +0.8%
Dow 30 (US) -0.0%
Euro Stoxx 50 (Europe) +0.2%
Nikkei 225 (Japan) +3.4%

In terms of £ Sterling, it closed the week (to 6 November), at 1.32 US Dollars, which was 1.7% higher than the figure at the end of the previous week (30 October).

Against the Euro, £ Sterling closed on 6 November at 1.11 Euros, which was 0.3% lower than the closing figure on 30 October.

Inflation, as measured by the Consumer Prices Index including owner occupiers’ housing costs (CPIH), was 0.7% in September 2020 (this is September’s data which is reported in October).  This was up from 0.5% in the previous month with transport costs, and restaurant and café prices, following the end of the Eat Out to Help Out scheme, making the largest upward contributions.  The 12-month rate for the Consumer Prices Index (CPI) rate which excludes owner occupied housing costs and council tax was 0.5% in September, up from 0.2% in August.

There were no further changes to the Bank of England base rate last week following the two previous cuts in March.  The current rate remains at 0.1%.

The Omnis Managed funds, Openwork Graphene Model Portfolios and Omnis Managed Portfolio Service provide you with a diversified asset allocation in line with your Attitude to Risk, investing in Developed Market Equities, such as UK, US, Europe and Asia Pacific as well as Emerging Market equities.  Cautious and Balanced investors will also have significant holdings in UK and Global Bonds, as well as Alternative Strategies.

We believe this multi-asset approach aims to minimise global equity market falls in volatile periods.  Past performance is not a guide to future performance.  The value of an investment and any income from it can fall as well as rise as a result of market and currency fluctuations.  You may not get back the amount you originally invested.

OMNIS INVESTMENT MARKET UPDATE – 9TH NOVEMBER:
MARKETS RALLY AS BIDEN PROJECTED TO BECOME NEXT US PRESIDENT

Markets:  Shares rally as Biden closes in on White House
UK:  BoE reacts to lockdown with more QE
US:  No change to Fed policy
Europe: Consumer spending slows in September
China: Exports continue to recover

Read more >>

At Money & Mortgages, our team are working and available during the coronavirus lockdown and we’re happy to arrange video meetings and phone appointments.  For more information please contact us on 0161 505 0601 or via email info@moneymortgages.co.uk
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