The Week That Was

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Investors digested the Fed’s decision to raise rates by dipping back into the market and allowing several indices to recover some ground lost last week. Four of the seven indices shown above are posting negative returns on a YTD basis, with Japan’s Nikkei 225 occupying 2015’s top spot thus far with a strong gain of about 8.4%. The rout in commodities has not been kind to Canada’s S&P/TSX composite, handing it  the dubious distinction of being this year’s worst performer to date (-10.92%).

The Week That Was

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Strong U.S. employment numbers coupled with what many considered to be an inadequate course of action by the ECB last week saw most market fall sharply. The markets hardest hit were Germany’s DAX (nearly 5%) and France’s CAC 40 (down more than 430 bps). North American indices closed the week surprisingly flat given news released this past week. Japan’s Nikkei 225 continues to lead on a YTD basis with a gain of 11.77%. With an upcoming FED rate rise later this month all but certain, we can expect some further profit taking in the near term.

The Week That Was

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Last week was a good week for equity investors as each of the indices ended higher. Germany’s DAX was last week’s top performer with a gain of 6.8% followed by France’s CAC 40 at +4.7%. The French CAC 40 continues to lead on a YTD basis. China’s recent rate cut and musings about further European QE could see further gains next week.

The Week That Was

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Each of the indices recorded strong gains last week as bargain hunters swept the market and concerns over a FED rate rise this year seemed increasingly unlikely.

Glencore continued its recovery this week, closing up an astonishing 36% which would seem to indicate overly bearish sentiment fading away (no doubt the Company’s decision to cut zinc production also played a part in the rally).

The French CAC-40 is the year’s top performer with an amazing +10% return followed by Japan’s NIkkei 225 (+5.66%) and  London’s FTSE 100 (+2.97%) .

The Week That Was

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Concerns over the future of commodity trading and mining giant Glencore dominated the market at the beginning of the week, with the Company’s stock dropping nearly 30% on Monday itself. However, in what appears to be a case of over-pessimism, the stock closed down 2.3% for the week as it began its recovery in earnest on Tuesday.

Lingering commodity fears (and by extension China), disappointing U.S. non-farm payroll numbers, and revisions to prior month data (U.S. jobs and hourly earnings) slowed a market recovery which took hold on Tuesday (both the Dow and S&P 500 finished 1% higher on the week).  The fallout from the Volkswagen debacle and aforementioned economic and commodity weakness kept the European indices in the red save for London’s FTSE 100 which posted a modest rise of 0.34%

The French CAC 40 and Japanese NIkkei 225 remain the only two indices in the black on a year-to-date basis.