The major global equity markets were all positive during the month of February despite a difficult last week caused by concerns over the rise in United States 10-year Treasury yields. It is up more than 50 basis points since the year began.
|Monthly performance to end of February 2021|
|FTSE 100 (UK)||+1.2%|
|Dow 30 (US)||+3.2%|
|Euro Stoxx 50 (Europe)||+4.5%|
|Nikkei 225 (Japan)||+4.7%|
In terms of currency, £ Sterling ended February 1.40 US Dollars. This was 2.0% higher than the figure at the end of January. Against the Euro, £ Sterling ended February at 1.16 Euros, which was 2.4% higher than the January closing figure.
Inflation, as measured by the Consumer Prices Index including owner occupiers’ housing costs (CPIH) was 0.9% in January 2021 (this is January’s data which is reported in February). This was up from 0.8% in the previous month, largely as a result of rising furniture and household goods, restaurants and hotels, food and transport costs. The 12-month rate for the Consumer Prices Index (CPI) rate which excludes owner occupied housing costs and council tax was 0.7% in January, up from 0.6% in December.
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%.
Openwork investment proposition – The Omnis Managed funds, Openwork Graphene Model Portfolios and Omnis Managed Portfolio Service provide clients with a diversified asset allocation in line with their 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.