- The Nasdaq broke the 6,000 level for the very first time, led by strong performance of the FANG stocks, (Facebook, Amazon, Netflix and Google) as investors continue to pile into the technology sector.
- Following its latest meeting, the ECB deciding to keep their benchmark rates on hold and will continue their bond buying program, of €60bn per month, which will continue until at least December 2017.
- The UK economy slowed more than forecasted with Q1 GPD coming in at 0.3% compared to the 0.4% forecasted
- Emmanuel Macron and Marine Le Pen will face off to become France’s next president following the first round vote. This resulted in a strong rally in the Euro and European equity markets.
- On Thursday 4 May we will see the release of the Bank of England UK mortgage approvals with the market expecting 67,500 for the month of February 2017.
- On Wednesday 3 May we will have the FOMC rate decision with the expectation of no change keeping the Federal Funds Target rate at 1%.
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 24/04/17
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.