AHR Weekly Market Update Podcast AHR Weekly Market Update

On this week’s AHR Market review.

Equity markets rose for the third week in a row as quarter one earnings season draws to close and US markets once again get close to all-time highs.
With 90% of S&P 500 companies now having disclosed their earnings for the first quarter, the results have surpassed analyst predictions by a notable 8.5%, marking the most significant positive surprise since the third quarter of 2021. 
Furthermore, profitability has seen an uptick after facing pressures throughout 2022 and part of 2023, largely due to a moderation in input-cost inflation. 
Looking at monetary policy, the Bank of England (BoE) opted to maintain its base rate at 5.25%, following a 7-2 majority decision by its Monetary Policy Committee (MPC) at its recent meeting.
Over the week the US equities added around 2% and US technology rose over 1%. 
Looking to the week ahead, all eyes will be on the US CPI release on Wednesday. 
That’s all for this week’s AHR Weekly Podcast. Thank you for listening and for further investment insights head over to ahrprivatewealth.com.

On this week’s AHR Market review.

In a week filled with US economic data, Fed rate decisions and corporate earnings announcements, global equity and bond markets edged higher.
The U.S. Federal Reserve held interest rates steady on Wednesday and signalled it is still leaning towards eventual reductions in borrowing costs but put a red flag on recent disappointing inflation readings that could make those rate cuts a while in coming.

Key US employment data released during the week saw the U.S. economy add 175,000 jobs in April, notably below consensus estimates of 240,000 new payrolls.

Profits at some of the biggest technology companies continued to improve as earnings season neared an end.

Whilst the US fed rate announcement went largely as expected, the softer US labour data was received positively by markets and saw US equities record a 0.5% return for the week, with US technology adding 1.4%. 

That’s all for this week’s AHR Weekly Podcast. Thank you for listening and for further investment insights head over to ahrprivatewealth.com.

On this week’s AHR Market review.

Equity markets staged a recovery over the week following the recent slump.

In the U.S., approximately a third of S&P 500 companies, accounting for 40% of the index's market cap, have reported their earnings for the first quarter.

Economic data from the U.S. painted a less rosy picture. The Commerce Department's preliminary estimate indicated that the economy grew at a meagre annualised rate of 1.6% in the first quarter, significantly trailing the anticipated 2.5%.

The Commerce Department also highlighted that core personal consumption expenditures (PCE) inflation—which strips out volatile food and energy prices—climbed at an annualised 3.7% in the first quarter, outpacing expectations and exceeding the Federal Reserve's 2% target for sustainable inflation.

U.S. equities ended the week up by 2.7%, buoyed by strong earnings, with technology stocks particularly strong, rallying by 4.2%.

In fixed income markets, global yields increased over the week, reacting to the higher-than-anticipated U.S. inflation figures. 

That’s all for this week’s AHR Weekly Podcast. Thank you for listening and for further investment insights head over to ahrprivatewealth.com.

On this week’s AHR Market review.

Stock markets suffered their third straight week of losses amid concerns about Middle East tensions and the likelihood of U.S. interest rates staying higher for longer. 

In economic news, robust figures from the U.S. Commerce Department indicated that retail sales in March surged by 0.7%, significantly exceeding the expected 0.3%, and up from a revised 0.9% increase in February. 

In the UK, consumer price inflation dropped to 3.2% in March, the lowest in two and a half years but slightly less than analysts had anticipated. 

China reported a better-than-expected 5.3% economic growth for the first quarter of 2024, bolstered by a 6.1% increase in industrial output.

U.S. stock indices fell by 3% over the week, with technology stocks particularly affected, dropping by 5.5% as investors re-adjusted their rate expectations.

Yields of U.S. government bonds rose for the third week in a row as investors continued to rein in their expectations for near-term interest-rate cuts.

Oil prices experienced volatility, with U.S. crude briefly topping $85 per barrel due to the tensions between Israel and Iran. 

That’s all for this week’s AHR Weekly Podcast. Thank you for listening and for further investment insights head over to ahrprivatewealth.com.

On this week’s AHR Market review.

Equity markets fell over the week following hotter than expected US CPI data and heightened tensions in the Middle East following Iran’s attempted missile strikes on Israel.
Just one month ago markets had placed a high probability that the US Federal Reserve would cut its interest rates at it’s upcoming June and July meetings. 
Later in the week stocks pulled back sharply, in the wake of reports that Iran was preparing to directly attack facilities on Israeli soil for the first time. 
US equity markets fell 1.6% over the week, with small and midcap stocks fairing worse than mega-cap growth names. 
In the wake of Wednesday’s inflation report, the yield of the 10-year U.S. Treasury bond rose to the highest level in five months, as it climbed as high as 4.59% at one point. 
That’s all for this week’s AHR Weekly Podcast. Thank you for listening and for further investment insights head over to ahrprivatewealth.com.

On this week’s AHR Market review.

In a week that capped off the end of the first quarter, equity markets finished slightly higher ahead of the Easter break. 

In the latest dispatch from the economic front, the U.S. Federal Reserve's favoured barometer for monitoring inflation - the Personal Consumption Expenditures Price Index - has unveiled a more moderate ascent in consumer prices. 

Meanwhile, a surge in consumer spending has led to an upward revision of the final quarter's economic expansion figures in the US.

US equity markets ended the holiday shortened week at record highs, finishing up 0.4%. European equities advanced 0.59% despite softer economic data from Germany suggesting slower growth throughout 2024.

On the commodities front, both gold and oil have continued their impressive performance, notching substantial weekly gains.

That’s all for this week’s AHR Weekly Podcast. Thank you for listening and for further investment insights head over to ahrprivatewealth.com.