The UK stock-market was lower this week
- despite the deteriorating relationship with the EU with Boris Johnson’s government determined to push ahead with its plan to rewrite the withdrawal agreement.
- The Pound fell hard with the EU threatening legal action as tensions rose
- The ECB left its key interest rates and the size of asset purchases unchanged, as expected, and reiterated that it stands ready to make adjustments to its tools when needed.
- Our Breadth Indicator stayed negative and our Momentum indicator, although still positive, ticked lower again.
The US stock-market was lower this week
- Some positive news re the development of potential coronavirus vaccines helped lift market sentiment early in the week but this faded after a two-day Federal Reserve meeting drew to a close.
- The Central Bank left the target range for its federal funds rate unchanged at 0-0.25%, in line with market expectations and signaled it would hold them there through at least 2023 to help the economy recover from the coronavirus pandemic. The lack of detail in the guidance left many investors feeling disappointed.
- Our Breadth Indicator turned negative this week and our Momentum Indicator, although still positive, ticked down again.
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