The U.K. Stock market
- The U.K. stockmarket was higher this week largely due to easing trade tensions between the U.S. and China and the release of stronger than expected Chinese economic data.
- UK Data showing that inflation had slowed to a three-year low and GDP grew by just 0.1% in the three months to November increased market expectations of a rate cut this month.
- Our Breadth indicator stayed positive this week and our Momentum indicator ticked up again.
The U.S. Stock market
- The U.S. stockmarket was higher this week. On Wednesday a “Phase One” deal between the US and China was signed with President Trump calling it “one of the greatest trade deals ever made”.
- China has agreed to buy an additional $200 billion of U.S. goods over the next two years in return for the U.S. cutting tariffs on some Chinese goods although existing tariffs on $250 billion of Chinese imports remain in place.
- Our Breadth indicator stayed positive and our Momentum indicator ticked higher again.
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