Financial Update – September 2020
Welcome to your monthly newsletter.
August used to be known as the ‘silly season’ – a phrase coined by the Times in 1861 to describe the lack of news in August and early September when parliament was in recess.
Well, there was plenty of news in August 2020. With coronavirus and its effects, the continuing squabbles over Brexit, the US Presidential election and the resignation of the Japanese Prime Minister, the headline writers had more than enough to keep them busy. Objectively, much of the news was gloomy – redundancies continued to pile up, jobs growth in the US stalled and Japan recorded its biggest economic slump on record.
Despite this, stock markets around the world marched steadily upwards. As the FT headline on 1st September put it, Global stocks soar during hottest August for decades in markets.
Much of this ‘soaring’ was due to the expectation of more stimulus measures and/or a vaccine for the virus, with the sentiment helped by the resumption of US/China trade talks.
Please do get in touch with our team if there is anything you would like to discuss further.