Market sell-off explained

08 September 2020

Chief Investment Officer Bernard Swords outlines the reasons for last week’s market turbulence amidst a backdrop of better-than-expected US unemployment data and positive sentiment indicators. 

• Headline indices in the US saw a technology-led decline last week while cyclical stocks began to perform better. 

• Covid laggards such as industrial companies, banks, building material companies started to catch up with Covid beneficiaries or FANG stocks like Tesla, Apple and Microsoft. 

• Meanwhile, positive sentiment indicators and better-than-expected non-farm payrolls last week give rise to some signs of a tentative recovery and is supportive of the Goodbody Investment Team’s cautiously optimistic stance for investment portfolio positioning. 

Contact Us
Warning: Nothing presented on this website constitutes investment advice as it does not take into account the investment objectives, knowledge and experience or financial situation of any person. You should not act on it in any way and are advised to obtain professional advice suitable to your own individual circumstances. The value of your investment may go down as well as up. You may lose some or all of the money you invest. Past performance should not be taken as an indication or guarantee of future performance; neither should simulated performance. The value of securities may be subject to exchange rate fluctuation that may have a positive or adverse effect on the price or income of such securities.