February Commentary
UK MARKETS
Weak performance as a result of inflation data
The UK market saw negative returns on the back of December Core CPI inflation (+5.1%) coming in way ahead of expectations, dampening any hopes for interest rate cuts from the Bank of England. This sapped some of the euphoria that we saw the previous month, particularly in the more interest rate sensitive sectors. Mining, oil, and banks all underperformed a weak overall UK market, as global sector sentiment (positive technology, negative global cyclicals) proved an additional headwind. Miners were particularly weak as investors reacted to negative news from China, and on electric vehicle sales.
Down -1.4% (UK All Share)
January Commentary
UK MARKETS
Strong energy stock performance could not curtail overall weak results
In spite of surging natural gas and gold prices contributing to strong performances from energy-related stocks, which the UK has a meaningful exposure to, the UK markets declined overall. In terms of exposure, largecap stocks outperformed small-cap stocks, and growth stocks outperformed value ones. With the overall financial ‘health’ of the UK consumer remaining a concern on the back of a drop in consumer confidence and house price worries, gilts continued to sell-off and most sectors, including the banks, delivered weak performance.
Down -4.2% (UK All Share)
Steady as She Goes
Does the song title above from the Raconteurs best describes the current state of US Inflation?
Some Holiday Cheer?
Although you wouldn’t build a long-term portfolio strategy on this approach, there is much to be said about a Christmas rally
November Commentary
UK MARKETS
Strong energy stock performance could not curtail overall weak results
In spite of surging natural gas and gold prices contributing to strong performances from energy-related stocks, which the UK has a meaningful exposure to, the UK markets declined overall. In terms of exposure, largecap stocks outperformed small-cap stocks, and growth stocks outperformed value ones. With the overall financial ‘health’ of the UK consumer remaining a concern on the back of a drop in consumer confidence and house price worries, gilts continued to sell-off and most sectors, including the banks, delivered weak performance.
Down -4.2% (UK All Share)
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Leading digital investment management company, Spring IM, is partnering with WeShop, the world’s first shoppable social media platform, to onboard 200,000 WeShop customers into Spring’s digital solutions
If You Build It, They Will Come
Taking liberties with the quote from ‘Field of Dreams’, the US housing market has a solid foundation to build upon.
October Commentary
UK MARKETS
Solid performance on the back of large cap selections and higher oil prices
UK equities performed well in sterling terms, owing to the macroeconomic backdrop; dollar feed-through on larger cap selections and higher oil prices being the key drivers of index performance. The underlying benefit to energy companies saw BP and Shell, up circa 8%, lead the market. Natural Resources and Financials fared well too, all boosting the FTSE 100. The mid-cap FTSE 250, which has more domestic earnings, was modestly lower, while small-cap stocks had a stronger second half of the month, boosted by the better inflation data. Index Linked Gilts lagged, as inflation data surprised to the downside.
Up 1.7% (UK All Share)
Remaining Invested
Unlocking the Potential of Your Money: Why Smart Investment Choices Lead to Long-Term Wealth Growth
The Golden Eagle and The Rabbit - A Fable?
Mexico has supplanted China as the largest import partner of the US.
September Commentary
UK MARKETS
Weak first half followed by a late month rally
UK equities mirrored global trends, with a weak first half followed by a late month-end rally. However, returns lagged other developed markets. Unlike the US, there was little difference in performance across the market cap spectrum. Despite better inflation data in the previous month, August showed more modest progress. That, and concerns over the scale of future gilt issuance levels, as well as a continued hawkish tone from the Bank of England, saw short term Gilt yields move higher, with 2yr Gilt yields moving up from 4.99% to 5.16%.
Down -3.3% (UK All Share)
