Ear to the Ground
Some might have expected the first week back in 2023 to be a quiet affair. This has proved not to be the case, however. In the US we had the release of the December FOMC meeting.
Monthly Update 31/12/2022
Monthly Update31 December 2022 The Fund was flat during December, behind its performance comparator of cash (as measured by the Bank of England’s Sterling Overnight Index Average (“SONIA”)) + 5% which rose 0.66%. It did provide some protection compared to the UK stock market, as measured by the FTSE 100 index, which fell 1.49%. (Source […]
Monthly Update 31/12/2022
Monthly Update31 December 2022 The Fund posted a return of -0.08% for December, outperforming the sector average return of -1.10%. The performance of key equity market indices was mixed during the month. The Hang Seng proved a strong performer in local currency terms, the further relaxing of Covid restrictions in China proving something of a […]
Ear to the Ground
“Follow the leader”! Or instead of a game of “Simon Says”, are we currently witnessing a game of “Powell Says”? This week was a week for interest rate decisions, with respective committees meeting in the US, UK and the EU. First up we had the US Federal Reserve, as expected, raised interest rates by 0.5% to the 4.25%-4.50% range. This was the seventh consecutive rate hike…
Ear to the Ground
It was the turn of Halifax to report weaker house prices this week, following a negative report by Nationwide last week. Halifax reported that house prices had fallen by 2.3% in the month of November, the largest drop since November 2008. In the US meanwhile, some economic data surprised to the upside. The ISM Non-Manufacturing PMI for November came out at a stronger-than-expected…
Ear to the Ground
It has been a quieter one on the UK economic data front this week, especially in the UK. There was data out regarding the housing market and it was no real surprise to see a fall in both price and activity here. Mortgage approvals and mortgage lending came in lower than in the previous month and also below forecast.
Monthly Update 30/11/2022
Monthly Update30 November 2022 The Fund posted a return of 5.34% for November, outperforming the sector average return of 3.54%. November proved a strong month for equity markets in general, with most major indices posting a positive return. One of the star performers was the Hang Seng. The index drove higher as China started to […]
Ear to the Ground
A little quieter on the economic front this week. The release of the FOMC minutes from the previous meeting contained no real surprises and reflected very much what was said by Chair Powell in the post-meeting press conference and statements made by other Fed governors since. The Minutes confirmed the…
Ear to the Ground
This week saw the release of the UK budget. Some are terming it as being a ‘rescue’ budget and this is understandable given the forecasts made by the Office for Budget Responsibility (OBR). They forecast that the economy will contract by 1.4% in 2023, before expanding by 1.3% in 2024, 2.6% and 2.7% in the following two years.
Ear to the Ground
A number of central banks have held their latest meeting to set interest rates. The ECB acted in line with expectations, increasing its policy rate by 0.75% to 1.5%. The ECB also offered hints as to the future direction of its rate setting. Whilst further hikes are expected to combat inflation, which is still deemed as being too high, the central bank suggested that pace of rate hikes may be slower moving forward.
