News this past week
- ECB hints at further easing
- Equities see modest recovery
- Chinese GDP registers 6.8% yoy in Q4
- Bank of England strikes dovish tone
- Brent rallies after hitting fresh lows
Alex Harvey, CFA shares his view:
As the great and good (as well as Bono and DiCaprio!) descended on the World Economic Forum in Davos last week, those that couldn’t afford the $27,000 ticket watched from the stands as global markets reached a near term nadir, continuing their slide of recent weeks as oil crashed through the $27 barrier. It was a week of two halves, however, as equities – and oil in particular – rallied hard into the weekend and provided some respite for bruised investors. There was sense that the market had become overly bearish, chiefly led by Chinese growth concerns, and whilst supply and demand imbalances continue to weigh on oil prices, the 16% gain in WTI crude over Thursday and Friday likely speaks to some short covering.