View more on these topics

Investment Analysis

World equity markets escaped what was in the main another grim set of US economic data relatively unscathed as inv-estors decided to focus their attention on the likelihood of further interest rate cuts in the US, Europe and the UK this week and the prospects of a global recovery in 2002.

While most of the last week&#39s economic numbers came in worse than expected, the market was given a boost following the release of third-quarter US GDP data which at -0.4 per cent was well above most analysts&#39 forecasts.

However, the rest of the economic numbers made for depressing reading, with the news that US unemployment had risen to 5.4 per cent following hot on the heels of figures showing US consumer confidence having fallen to its lowest level for seven years. In addition, the latest National Association of Purchasing Management&#39s index of manufacturing showed a worse than expected fall.

Although most of the world&#39s equity markets fell, a rally towards the end of the week limited the downside.

In the US, the S&P 500 fell by 1.6 per cent while the Nasdaq gave up some of its recent strong gains, ending the week 2 per cent lower.

Closer to home, the FTSE Eurotop 300 index fell by 1.9 per cent while the UK&#39s FTSE 100 lost 1.1 per cent although the index again outperformed the FTSE 250 and small-cap indices, which ended 1.5 per cent and 1.4 per cent lower.

In the Far East, the Bank of Japan&#39s comments that the economy may remain in recession for a further two years depressed prices in Tokyo.

Recommended

Wood cuts out ScotAm and axes 2,100 jobs

Prudential UK chief executive Mark Wood finally axed Scottish Amicable this week, ditching the 175-year-old IFA brand completely and cutting 430 jobs in Stirling.Money Marketing revealed in July that the ScotAm brand, which has operated as Pru&#39s IFA arm since 1997, was under review by new boss Wood and was soon to go. Wood outlined […]

Soliciting business

On September 28, 2000, Money Marketing&#39s Experts column was an article on how, after N2 day, it was going to be difficult, if not impossible, for IFAs to share commission with other professionals – in the main solicitors and accountants – for referring clients to them for the purposes of financial services business.It referred to […]

Tom Baigrie

Lives: Wandsworth, South London.Born: 1961, South Africa.Education: Bishops School, South Africa.Career: Two years in the South African army from 1979. Came to the UK in 1981 and joined financial adviser Merchant Investors, where he met current business partner Arthur Davis. Started his own financial advice business, Baigrie Associates, in 1984 before joining forces with Davis […]

GE Life launches balanced income and growth plan

GE Life is launching a balanced income and growth plan which offers fixed annual gross income of 8 per cent for five years. It also offers the flexibility for investors to either take monthly or annual income with the option of investing for growth. Return on capital is linked to the performance of the Dow […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com