Key takeaways from the week

  • Risk assets rallied on the week, but weekly market performance continues to be choppy, as indicated by five weeks in a row of alternating positive and negative performance;
  • Better-than-expected Chinese trade data proved to be a catalyst for stocks as investors have feared a "hard landing" in China's economy; and
  • Q1 earnings season has been kicked with bank earnings setting a positive tone. While aggregate first quarter earnings are expected to be down year-over-year, stabilization in the US dollar and the price of oil could relieve recent earnings headwinds, allowing profits to resume their upward trend through the rest of 2016.

Now what?

The price of oil is still just about dominating the news at the moment, but it won't be long before this is replaced by something else. In recent memory, we have had fears about China, the Fed rate rise, Swiss currency devaluation, Grexit fears, ECB stimulus, Brexit fears, and a bear market.

Trying to interpret the wealth of financial information thrust upon us from numerous sources is no easy task. 

So what should we do? What's coming next?

Of course no one knows, but whatever it is, try not to over react to it. Remember that these types of events have always happened, information is just more widely and quickly available than ever. If you see something that makes you nervous, click on the chart here.

 

Market data

Equity Indices Value Weekly Change
FTSE 100 6,346.75 2.28%
S&P 500 2,082.9 1.59%
Hang Seng 21,316.47 4.64%
Shanghai Composite Index  3,078.116 3.12%
Nikkei 225 16,848.03 6.49%
Dax 30  10,059.87 4.55%
Bonds  Value Weekly Change
US 10 yr 1.63% -5.52%
UK 10 yr 1.41% 3.55%
Commodities / Energy Price Weekly Change
Gold $1,231.32 -0.69%
Brent Crude Oil $42.54 2.19%
Currencies Majors Value Weekly Change 
EUR-USD 1.1292 1.34%
USD-JPY 108.8 0.33%
GBP-USD 1.4197 0.62%
Central Bank  Rate
Fed Reserve   0.50% 
ECB  0.00%
Bank of England   0.50% 
Bank of Japan -0.10%
Prices as at Friday 15 April 2016

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