The UK stock-market was lower this week.
- The Bank of England warned that the British economy may suffer more than previously projected from the coronavirus and as Brexit negotiations move towards the deadline at end of October, Michel Barnier, EU chief Brexit negotiator, warned the UK that time to reach a deal is running out.
- The Pound fell and foreign Secretary Dominic Raab called this coming week the “moment of reckoning”.
- Our Breadth Indicator stayed negative and our Momentum indicator, although still positive, ticked lower again.
The US stock-market was lower this week
- most likely due to profit taking after the strong run up over recent weeks. The tech rally may stall here until further economic data confirms economic improvement and/or there is more positive news regarding coronavirus.
- There was little important economic data but 1.4 million jobs were added in August which was in line with expectations.
- Our Breadth Indicator stayed positive this week but our Momentum Indicator, although still positive, ticked down again.
Disclaimer: ‘Where the business has expressed opinions, they are based on current market conditions, they may differ from those of other investment professionals and are subject to change without notice. The information contained within this communication is believed to be reliable but Realm Investment Management Limited does not warrant its completeness or accuracy.
This communication is not intended as a recommendation to invest in any particular asset class, security or strategy. Regulatory requirements that require impartiality of investment/investment strategy recommendations are therefore not applicable nor are any prohibitions to trade before publication. The information provided is for illustrative purposes only, it should not be relied upon as recommendations to buy or sell investments.’