Investment Market Update
Asian stocks climbed, as a rally in technology shares gathered pace, with investors mulling comments from Federal Reserve officials and the chances of a breakthrough in the US-China trade dispute.
US stocks shrugged off early weakness on Tuesday and finished modestly higher as investors weighed the odds for progress on the US-China trade fight. The market had opened lower after US President Donald Trump appeared to dismiss the idea of a deal with China at this week's Group of 20 summit. But the more upbeat comments on Tuesday from White House economic adviser Larry Kudlow on the possibility of an agreement cheered investors.
UK stocks closed lower on Tuesday, as miners fell with metals prices dented by fears of a further escalation in US-China trade tensions. The big movers of the day saw Thomas Cook Group lose as much as 31% after it suspended its 2018 dividend and cut its profit forecast for the second time in two months. Greggs shares were as much as 16% higher after it reported strong sales in October and November and said it expected higher 2018 profits.
- British retail sales perked up in November by more than expected, but stores’ confidence for the coming months deteriorated ahead of Brexit, an industry survey showed on Tuesday. The survey was conducted before last week’s Black Friday promotions. While November’s pick-up was stronger than expected, other parts of the survey were less promising. Business expectations for the next three months cooled to their lowest level since May 2017.
- The sale of GlaxoSmithKline Plc’s Indian Horlicks nutrition business is nearly concluded and one of two of the largest European consumer companies, Unilever Plc and Nestlé SA, is likely to be the successful bidder. The auction for the assets, including popular malt-based health drinks brands Horlicks and Boost, could attract more than $4 billion. GlaxoSmithKline owns a 72.5% stake in the business. Coca-Cola were another likely suitor as they have been looking to expand in emerging markets as growth in the United States slows.
|FTSE All Share||3,845.17||-0.3%||-8.9%||9.0%|
|FTSE Small Cap||5,377.61||-0.1%||-9.0%||14.9%|
|St. James's Place||1,061.50||0.6%||-13.4%||20.9%|
|Euro Stoxx 600||357.40||-0.3%||-8.2%||7.7%|
|Dow Jones Ind||24,748.73||0.4%||0.1%||25.1%|
|MSCI AC Asia Pacific||151.74||0.4%||-12.7%||28.7%|
|MSCI World (Developed)||2,000.07||0.0%||-4.9%||20.1%|
|MSCI AC World (Dev & Em)||481.24||0.1%||-6.2%||21.6%|
|MSCI Emerging Markets||980.16||0.4%||-15.4%||34.2%|
|MSCI AC World Value||206.82||0.2%||-7.7%||15.2%|
|MSCI AC World Growth||263.41||0.0%||-4.8%||28.3%|
|FTSE Gilts All Stocks||3,547.30||-0.1%||-1.2%||3.0%|
|FTSE Index Linked All Stocks||627.86||-0.2%||-3.1%||2.3%|
|ML Sterling Corporate Bonds||388.75||-0.1%||-3.0%||5.7%|
|ML Global High Yield Bonds||367.51||-0.3%||-2.6%||9.7%|
|Brent Crude Oil||60.21||-0.4%||-4.9%||14.5%|
|Consumer Goods and Services||18,485.98||0.3%||-17.3%||13.6%|
|Oil & Gas||8,735.28||-0.4%||-3.6%||6.0%|
|$ per £||1.28||0.7%||-5.1%||9.5%|
|€ per £||1.13||0.2%||0.4%||-4.0%|
|¥ per £||145.51||0.4%||-4.4%||5.3%|
|VIX Index (Volatility)||19.02||0.6%||72.3%||-21.4%|
|Baltic Dry Index||1,339.00||10.0%||-2.0%||42.1%|
|BoE Base Rate||0.75%|
|LIBOR (3 months)||0.89%|
|Consumer Price Index||2.40%|
|Retail Price Index||3.30%|
|Yields / Ratios|
|FTSE 100 Adj P/E||11.65|
|FTSE All Share Adj P/E||11.64|
|FTSE All Share Yld||4.50%|
|15yr Gilt Yield||1.63%|
|10yr Gilt Yield||1.39%|
|10yr US Tres Yield||3.06%|
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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