Investment Market Update
Asian stocks fell for a second day as investors moved to safer havens such as the Japanese yen and US Treasuries. The Japanese market touched a 10% fall since January, which is enough to be technically called a correction.
US stocks saw their biggest fall since 2011 amid concern over interest rates rising higher and faster than the market originally expected.
UK stocks fell as traders priced in tighter monetary policy around the world.
- US stocks saw the biggest one-day fall in six years on Monday. The Dow Jones Industrial Average fell nearly 1,600 points for its biggest intraday drop in history in points terms, or more than 6%, before ending down 4.6% for it’s biggest one day fall since Aug. 2011. Only last month the Dow and S&P500 index had their best monthly gains in two years with stocks reaching record levels on 26 January, supported by the benefit of cut in US corporate taxes in December, rising earnings, and healthy global economic growth. But with the Federal Reserve seen likely to raise short-term interest rates again at least three times in 2018, bond yields have been rising, and last Friday’s healthy US jobs market report sparked fears of rising inflation, leading to Monday’s sharp bout of profit taking.
|FTSE All Share||4,027.44||-1.50%||-4.60%||9.00%|
|FTSE Small Cap||5,722.94||-1.70%||-3.20%||14.90%|
|St. James's Place||1,173.00||-1.30%||-4.30%||20.90%|
|Euro Stoxx 600||382||-1.60%||-1.80%||7.70%|
|Dow Jones Ind||24,345.75||-4.60%||-1.50%||25.10%|
|MSCI AC Asia Pacific||179.363||-1.70%||3.20%||28.70%|
|MSCI World (Developed)||2,103.64||-3.10%||0.00%||20.10%|
|MSCI AC World (Dev & Em)||515.735||-3.00%||0.50%||21.60%|
|MSCI Emerging Markets||1,209.34||-1.70%||4.40%||34.20%|
|MSCI AC World Value||223.868||-2.90%||-0.10%||15.20%|
|MSCI AC World Growth||279.876||-3.00%||1.10%||28.30%|
|FTSE Gilts All Stocks||3,503.06||0.00%||-2.40%||3.00%|
|FTSE Index Linked All Stocks||627.76||0.20%||-3.10%||2.30%|
|ML Sterling Corporate Bonds||395.682||-0.10%||-1.30%||5.70%|
|ML Global High Yield Bonds||380.301||-0.20%||0.80%||9.70%|
|Brent Crude Oil||67.62||-1.40%||1.80%||14.50%|
|Consumer Goods and Services||20,720.68||-2.10%||-7.30%||13.60%|
|Oil & Gas||8,552.33||-1.30%||-5.60%||6.00%|
|$ per £||1.4118||0.60%||4.50%||9.50%|
|€ per £||1.1334||0.40%||0.70%||-4.00%|
|¥ per £||155.521||0.80%||2.20%||5.30%|
|VIX Index (Volatility)||37.32||115.60%||238.00%||-21.40%|
|Baltic Dry Index||1,082.00||-1.20%||-20.80%||42.14%|
|BoE Base Rate||0.50%|
|LIBOR (3 months)||0.53%|
|Consumer Price Index||3.00%|
|Retail Price Index||4.10%|
|Yields / Ratios|
|FTSE 100 Adj P/E||19.45946|
|FTSE All Share Adj P/E||18.94951|
|FTSE All Share Yld||3.96%|
|15yr Gilt Yield||1.80%|
|10yr Gilt Yield||1.56%|
|10yr US Tres Yield||2.71%|
Market prices will reflect the last closing prices with the exception of the Asian markets which may be still trading at the time the data is obtained. The data for these markets is therefore a snapshot of live trading data obtained between 06.45 and 07.15 GMT. Growth is shown cumulative and is not annualised. A positive currency movement indicates the £ appreciating against the other currency. Performance data does not account for the re-investment of dividends. This information has been reproduced by kind permission of Bloomberg and does not necessarily reflect the opinions of St. James's Place Wealth Management. St. James's Place considers the information to be reliable but it is not intended to provide a sufficient basis on which to make an investment decision.
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