The U.K. Stock market
- The U.K. stock market was slightly lower this week.
- The EU granted the UK a three-month Brexit extension and Boris Johnson won backing for a 12th December general election.
- Mario Draghi handed over leadership of the European Central Bank to Christine Lagarde on Friday. The ECB has restarted its asset purchasing program but kept interest rates unchanged this week.
- Our Breadth indicator turned negative and our Momentum indicator ticked down again.
The U.S. Stock market
- The U.S. stock market was higher this week. Friday was strong following a better-than-expected jobs report and a heightened expectation that a “phase-one” trade deal between the U.S. and China will soon be announced.
- This was a busy week for third-quarter earnings reports with the majority of companies in the S&P 500 that have reported so far, beating estimates.
- The Fed cut rates for a third time on Wednesday but indicated that further cuts were on hold for now pending new economic data.
- Our Breadth indicator stayed positive and our Momentum indicator ticked higher.
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