Weekly Newsletters
08 April 2022 | William Buckhurst
That Was The Week That Was
MACRO
- A speech from Federal Reserve Governor, Lael Brainard, who until now had a reputation for being a dove, came out with a pretty hawkish statement suggesting that the Fed could start reducing its balance sheet as soon as May – growth stocks fell and bond yields rose
- Although the data is unreliable, it appears that China’s Covid infection rates are increasing rapidly, while vaccinations rates are still very low
- UK Energy Policy released this week showed a renewed commitment to nuclear and an aim to expand North Sea oil and gas production
- The EU, US and UK announced further sanctions against Russia. It was reported that the US was set to impose further penalties against Russia’s largest banks and President Putin’s daughters whilst US President Biden would also sign an executive order that prohibits new investment in Russia by US persons and entities
COMPANY NEWS
- Shell have confirmed that pulling out of its Russian ventures will cost US$5bn; however, analysts estimate the rising price of energy will more than compensate with US$30bn being added to the bottom line in 2022
- UK Housebuilders confirmed the costs they will incur over historic cladding issues
- Twitter closed up sharply on the week after it was announced that Elon Musk had taken a 9.2% stake, becoming its largest shareholder
- Hewlett Packard shares surged after it was revealed that Warren Buffet had taken a stake in the company
THE ART OF LETTER WRITING
Jamie Dimon’s 44 page annual missive includes his views on Ukraine and Russia: a “substantial economic impact” for the former, and a c.$1bn loss to leave the latter. He is actively championing investment in LNG to reduce European dependence on gas supplies from the east, and closer to home seems to have softened his tone and views on flexible working
SMALL CAP NEWS
With the end and the beginning of the new financial year in the week it was interesting to see a slew of management top ups in their personal stakes. Firstly, it was announced that since 31st March the management team of Burford Capital, the finance providers within the litigation space, have in aggregate invested $3m into the stock. The CEO of Victorian Plumbing, Mark Radcliffe, followed by investing £354k on 4th April increasing his personal holding to 46.8% (from 46.6%). Turn those taps on!
THIS WEEK IN HISTORY
1720: The South Sea Bill receives Royal Assent, allowing South Sea Company shares to be sold to the public. £2m worth of South Sea shares would be sold at 300 per share one week later, on April 14th, 1720. Demand was so strong that shares for the South Sea Company sold out within an hour
1968: The New York Stock Exchange held a moment of silence in honour of Martin Luther King on April 5th, the day after he was assassinated
MARKET DATA
|
% returns |
1 Week |
1 Month |
1 Year |
5 Years |
|
UK Equities (% return GBP) |
1.40 |
6.67 |
9.88 |
18.18 |
|
World Equities (% return GBP) |
-1.15 |
5.08 |
7.73 |
68.52 |
|
10 Year US Treasury Yield (%) |
2.72 |
1.86 |
1.64 |
2.38 |
|
GBP / USD (fx rate) |
1.30 |
1.31 |
1.37 |
1.24 |
As at 8th April 2022. Source: Financial Express
This publication has been produced by Vermeer Investment Management Limited (VIM) trading as Vermeer Partners. It is provided for information purposes only. VIM makes no express or implied warranties and expressly disclaims all warranties of merchantability or fitness for a particular purpose or use with respect to any data included in this publication. VIM will not treat unauthorised recipients of this publication as its clients. Prices shown are indicative and VIM is not offering to buy or sell or soliciting offers to buy or sell any financial instrument. Without limiting any of the foregoing and to the extent permitted by law, in no event shall VIM, nor any of its officers, directors, partners, or employees, have any liability for (a) any special, punitive, indirect, or consequential damages; or (b) any lost profits, lost revenue, loss of anticipated savings or loss of opportunity or other financial loss, even if notified of the possibility of such damages, arising from any use of this publication or its contents. Other than disclosures relating to VIM, the information contained in this publication has been obtained from sources that VIM believes to be reliable, but VIM does not represent or warrant that it is accurate or complete. VIM is not responsible for, and makes no warranties whatsoever as to, the content of any third-party website referred to herein or accessed via a hyperlink in this publication and such information is not incorporated by referenceThe views in this publication are those of the author(s) and are subject to change. VIM has no obligation to update its opinions or the information in this publication. This publication does not constitute personal investment advice or take into account the individual financial circumstances or objectives of the client who receives it. Any securities discussed herein may not be suitable for all investors. VIM recommends that investors independently evaluate each issuer, security or instrument discussed herein and consult any independent advisors they believe necessary. The value of and income from any investment may fluctuate from day to day as a result of changes in relevant economic markets (including changes in market liquidity). The information herein is not intended to predict actual results, which may differ substantially from those reflected. Past performance is not necessarily indicative of future results.This material has been issued and approved for distribution in the UK by VIM. ©2022 Vermeer Investment Management Limited. All rights reserved. No part of this publication may be reproduced or redistributed in any manner without the prior written permission of VIM. VIM is authorised and regulated by the Financial Conduct Authority (FRN: 710280) and is incorporated in England and Wales (company number: 09081916).
Other Recent Weekly Newsletters
That Was The Week That Was
24 June 2022
That Was The Week That Was
17 June 2022
That Was The Week That Was
10 June 2022
That Was The Week That Was
03 June 2022
That Was The Week That Was
27 May 2022
That Was The Week That Was
13 May 2022
That Was The Week That Was
06 May 2022
That Was The Week That Was
29 April 2022
That Was The Week That Was
22 April 2022
That Was The Week That Was
15 April 2022
That Was The Week That Was
08 April 2022
That Was The Week That Was
01 April 2022
That Was The Week That Was
25 March 2022
That Was The Week That Was
18 March 2022
That Was The Week That Was
11 March 2022
That Was The Week That Was
03 March 2022
That Was The Week That Was
25 February 2022
That Was The Week That Was
18 February 2022
That Was The Week That Was
11 February 2022
That Was The week That Was
04 February 2022
That Was The Week That Was
28 January 2022
That Was The Week That Was
21 January 2022
That Was The Week That Was
14 January 2022
That Was The Week That Was
07 January 2022
That Was The Week That Was
17 December 2021
That Was The Week That Was
10 December 2021
That Was The Week That Was
03 December 2021
That Was The Week That Was
26 November 2021
That Was The Week That Was
19 November 2021
That Was the Week That Was
12 November 2021
That Was The Week That Was
05 November 2021
That Was The Week That Was
29 October 2021
That Was The Week That Was
22 October 2021
That Was The Week That Was
15 October 2021
That Was The Week That Was
08 October 2021
That Was The Week That Was
01 October 2021
That Was The Week That Was
24 September 2021
That Was The Week That Was
17 September 2021
That Was The Week That Was
10 September 2021
That Was The Week That Was
03 September 2021
That Was The Week That Was
27 August 2021
That Was The Week That Was
20 August 2021
That Was The Week That Was
06 August 2021
That Was The Week That Was
30 July 2021
That Was The Week That Was
23 July 2021
That was The Week That Was
16 July 2021
That Was The Week That Was
09 July 2021
That Was The Week That Was
02 July 2021
That Was The Week That Was
25 June 2021
That Was The Week That Was
18 June 2021
That Was The Week That Was
11 June 2021
That Was The Week That Was
04 June 2021
That Was The Week That Was
28 May 2021
That Was The Week That Was
21 May 2021
That Was The Week That Was
14 May 2021
That Was The Week That Was
07 May 2021
That Was The Week That Was
30 April 2021
That Was The Week That Was
23 April 2021
That Was The Week That Was
16 April 2021
That Was The Week That Was
09 April 2021
That Was The Week That Was
02 April 2021
That Was The Week That Was
26 March 2021
That Was The Week That Was
19 March 2021
That Was The Week That Was
12 March 2021
That Was The Week That Was
05 March 2021
That Was The Week That Was
26 February 2021
That Was The Week That Was
19 February 2021
That Was The Week That Was
12 February 2021
That Was The Week That Was
05 February 2021
That Was The Week That Was
29 January 2021
That Was The Week That Was
22 January 2021
That Was The Week That Was
15 January 2021
That Was The Week That Was
08 January 2021
That Was The Week That Was
18 December 2020
That Was The Week That Was
11 December 2020
That Was The Week That Was
04 December 2020
That Was The Week That Was
27 November 2020
That Was The Week That Was
20 November 2020
That Was The Week That Was
13 November 2020
That Was The Week That Was
06 November 2020
That Was The Week That Was
30 October 2020
That Was The Week That Was
23 October 2020
That Was The Week That Was
16 October 2020
That Was The Week That Was
09 October 2020
That Was The Week That Was
02 October 2020
That Was The Week That Was
25 September 2020
That Was The Week That Was
18 September 2020
That Was The Week That Was
11 September 2020
That Was The Week That Was
04 September 2020
That Was The Week That Was
28 August 2020
That Was The Week That Was
21 August 2020
That Was The Week That Was
14 August 2020
That Was The Week That Was
07 August 2020
That Was The Week That Was
31 July 2020
That Was The Week That Was
24 July 2020
That Was The Week That Was
17 July 2020
That Was The Week That Was
10 July 2020
That Was The Week That Was
03 July 2020
That Was The Week That Was
26 June 2020
That Was The Week That Was
19 June 2020
That Was The Week That Was
12 June 2020
That Was The Week That Was
05 June 2020
That Was The Week That Was
29 May 2020
That Was The Week That Was
22 May 2020
That Was The Week That Was
15 May 2020
That Was The Week That Was
08 May 2020
That Was The Week That Was
01 May 2020