Market Update - Week to 9 April

Despite Boris Johnson being admitted to hospital and spending a few days in intensive care fighting coronavirus, last week was positive for global equity markets. The number of coronavirus cases appear to be plateauing in European countries, like Spain and Italy, and some are starting to loosen the lockdown slightly. This positive news was well received by investors.

Weekly performance

up to 9 April 2020

FTSE 100 (UK) +7.9%

Dow 30 (US) +12.7%

Euro Stoxx 50 (Europe) +8.6%

Nikkei 225 (Japan)* +9.4%

*weekly performance up to Friday 10 April as market was open on Good Friday.

In terms of £ Sterling, it closed the week (to 10 April), at 1.25 US Dollars, which was 1.6% higher than the figure at the end of the previous week (3 April).

Against the Euro, £ Sterling closed on 10 April at 1.14 Euros, which was 0.4% higher than the closing figure on 3 April.

There were no updated inflation figures, as measured by the Consumer Prices Index including owner occupiers’ housing costs (CPIH). It was 1.7% in February 2020 (this is February’s data which is reported in March). This was 0.1% lower than the previous month. The 12-month rate for the Consumer Prices Index (CPI) rate which excludes owner occupied housing costs and council tax was also 1.7% in February, also down from 1.8% in January.

There were no further changes to the Bank of England base rate last week following the two previous cuts in March. The current rate remains at 0.1%.

The Omnis Managed funds, Openwork Graphene Model Portfolios and Omnis Managed Portfolio Service provide you with a diversified asset allocation in line with your Attitude to Risk, investing in Developed Market Equities, such as UK, US, Europe and Asia Pacific as well as Emerging Market equities. Cautious and Balanced investors will also have significant holdings in UK and Global Bonds, as well as Alternative Strategies.

We believe this multi-asset approach aims to minimise global equity market falls in volatile periods.