- Theresa May called a snap election for June 8 as she looks to strengthen her position to deliver on her Brexit mandate. The pound rallied to a six-month high, with early polls anticipating a heavy defeat for the Labour party.
- French citizens headed to the polls in what is being described as one of the most uncertain elections ever in French politics. There were 11 candidates in total with four frontrunners: Emmanuel Macron, Marine Le Pen, Francois Fillon and Jean-Luc Melenchon.
- Goldman Sachs reported a first quarter earnings miss, on both top and bottom lines, causing the stock to fall over 5%, reaching a four-month low.
- Oil prices fell back towards $50 a barrel following the release of data from the US Energy Department, showing an increase in American gasoline stockpiles.
- On Friday 28 we will see the release of UK Chained GDP YoY, with expectation set at 2.2%.
- On Thursday 27 we will see the release of the US Conference Board Consumer Confidence which tracks sentiment among households and consumers. An expected level of 123.7, would indicate an increase in positive sentiment.
A score of -1.0 indicates an extremely poor economic outlook, which is accompanied by a high probability of negative returns in risky asset classes like equities. The Risk Barometer tilts our portfolios away from equities during such periods.
A score of 0 indicates a neutral economic outlook with almost equal probability of positive and negative returns in risky asset classes like equities. The Risk Barometer maintains a balance between equities and other asset classes during such periods.
A score of +1.0 indicates an extremely positive economic outlook, which is accompanied by a high probability of positive returns in risky asset classes like equities. The Risk Barometer tilts our portfolios towards equities during such periods.
*as at latest realignment 20/02/17
The performance of each asset class is represented by certain Exchange Traded Funds available to UK investors and expressed in GBP terms selected by Copia Capital Management to represent that asset class, as reported at previous Thursday 4:30pm UK close. Reference to a particular asset class does not represent a recommendation to seek exposure to that asset class. This information is included for comparison purposes for the period stated, but is not an indicator of potential maximum loss for other periods or in the future.