MARKET VIEW w/e 20th September 2019

MARKET VIEW w/e 20th September 2019 981 980 Realm

The U.K. Stock market

  • The UK stock market was almost flat this week. The Bank of England kept rates on hold but indicated that the ongoing uncertainty over Brexit could keep rates lower for longer and that rates could move either higher or lower depending on events.
  • The Pound rallied to an eleven week high after EC president Jean-Claude Juncker said on Thursday that he was doing everything he can to get a deal.
  • However, after EU officials reviewed ideas for a new deal from Boris Johnson, chief Brexit negotiator for the EU, Michel Barnier, said talks seemed to have gone “backwards”.
  • Our Breadth indicator stayed positive and our Momentum indicator, although still negative, ticked up again.

UK Market 20th September 2019

The U.S. Stock market

  • The U.S. stock market was surprising quiet in an eventful week. The price of oil spiked on Monday after a drone attack on Saudi Arabian oil facilities the previous weekend. Prices settled back but still finished the week approximately 7% higher.
  • The Federal Reserve cut interest rates by 0.25%. It was the second cut this year. Fed Chair Powell reiterated the Fed would “act as appropriate” but descibed the current U.S. economic outlook as “favourable”.
  • President Trump responded with a tweet saying the central bank “fails again – no sense, no vision”.
  • Our Breadth indicator stayed positive this week and our Momentum indicator ticked higher.

US Market 20th September 2019

The Big Picture 20th September 2019

Market Sentiment 20th September 2019

U.S. Risk Barometer 20th September 2019

Europe Risk Barometer 20th September 2019

Emerging Markets Risk Barometer 20th September 2019

Disclaimer:  ‘Where the business have 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.