LAST WEEK - KEY TAKEAWAYS

Markets: US infections overshadow UK and EU recovery

• Global shares fell after a spike in the number of coronavirus infections in several of the US states that were among the earliest to ease social distancing rules, leading other states to announce new restrictions.

• The return of trade tensions between the US and the EU also weighed on the markets, although there was some good news as business activity picked up in the UK and EU in June.

• Omnis view: Shares remain sensitive to the latest developmen...

LAST WEEK - KEY TAKEAWAYS

Markets: Shares fall as optimism fades

• US shares started the week strongly, especially the technology-heavy NASDAQ index, amid optimism about the restart of business activity following the coronavirus-enforced lockdown.

• However, global shares ended the week lower after the Federal Reserve (US central bank) predicted the country’s economic recovery would be slow and new cases of the virus emerged in parts of the US and China that were among the earliest to ease lockdown restrictions.

• Omnis view: Globa...

Last Week - Key Takeaways

Markets: Brighter outlook drives shares

• Optimism about the global economic recovery following the coronavirus pandemic helped to drive shares higher, as US employment unexpectedly rose in May and the European Central Bank announced new support measures.

• There was further good news for the markets as countries continued to ease lockdown rules, although tensions lingered between the US and China as they argued over passenger flight restrictions.

• Omnis view: The disconnect between rising markets and ...

Understandably, individuals, companies, governments and investors have, for several weeks, been focused almost entirely on the Covid-19 pandemic and its implications. Having seen the introduction of unprecedented social restrictions in an attempt to contain the virus’ spread, large parts of the world have recently begun to take tentative steps towards easing these restrictions and building back towards more ‘normal’ social and economic conditions.

Each country’s experience of the pandemic has been unique. The steps necessary to return to norm...

LAST WEEK – KEY TAKEAWAYS

Markets - Tensions between US and China linger

• Global shares rose as the easing of lockdown restrictions continued around the world and details of further economic support measures emerged in the EU and Japan (see below).

• Tensions between the US and China hovered over the markets, as the Chinese government approved a national security law which infringes on Hong Kong’s independence.

• US President Donald Trump responded by revoking a special trade arrangement between the US and Hong Kong, but t...

LAST WEEK – KEY TAKEAWAYS

Markets: Optimism over potential vaccine boosts shares

• Global shares ended the week higher as US biotech firm Moderna announced positive results from a trial for its vaccine, and European countries continued to ease lockdown restrictions without experiencing a substantial rise in new coronavirus cases;
• Tensions between the US and China weighed on the markets though, as US President Donald Trump accused China of spreading disinformation about the pandemic, and reports indicated that China plans to impose a natio...

LAST WEEK – KEY TAKEAWAYS

Markets: Uncertainty weighs on shares

• Global shares fell at the start of the week after new coronavirus cases were reported in the Chinese city of Wuhan (where the virus originated) and the South Korean capital of Seoul;
• The markets also had to contend with rising tensions between the US and China, as President Trump continued to blame China for the pandemic. (see Global section below)
• Omnis view: Any indication of a second wave of virus cases in the first countries to ease lockdown restrictions will rattle th...

LAST WEEK – KEY TAKEAWAYS

Markets: Return to work lifts shares

• Global shares ended the week higher, overcoming lingering concerns about tensions between the US and China and evidence of the toll that the coronavirus pandemic has taken on the global economy (see UK and US sections below);
• The markets rallied as US states and European countries eased lockdown restrictions and the prospect of a subsequent rise in demand boosted oil prices.
• Omnis view: The markets appear to be focusing on the economic recovery which they hope will be reinf...

LAST WEEK – KEY TAKEAWAYS

Markets: Mixed week for shares as economies plan to restart

• Global shares rose early in the week as several European countries outlined plans for an easing of lockdown restrictions and biotech firm Gilead announced positive results from its latest tests of a potential coronavirus treatment;
• However, they handed back some of those gains as the markets recognised the return to work would be gradual and the threat of trade tensions resurfaced as US President Donald Trump blamed China for the spread of the virus.
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