- The Supreme Court ruled that the UK government will have to hold a parliamentary vote before Theresa May can trigger Article 50 – the process by which the UK will exit the EU.
- According to the Office for National Statistics, the UK economy grew by 0.6% in Q4 2016 making it the fastest growing economy in the G7 last year.
- The Dow Jones industrial average broke above 20,000 for the very first time, on the back of bullish sentiment on Wall Street.
- Royal Bank of Scotland (RBS) has had to set aside a further $3.8bn to cover a penalty handed down to them by the US authorities for mis-selling toxic mortgage securities in the build up to the 2008 financial crisis. They have now set aside a total of $8.3bn to cover this impending fine.
Source: Bloomberg, Copia Capital Management. See Notice.
- On Thursday 2nd February we have the UK Monetary Policy Committee decision on the UK Bank of England Official Rate, with consensus expecting no change and for the rate to remain at 0.25%.
- On Thursday 2nd February we have Nonfarm Payroll data released in the US, with expectations at 168k.
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 tilits 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 tilits our portfolios towards equities during such periods.
*as at latest realignment 19/12/16
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.