1. Newsroom
  2. Oil volatility driving global markets
Menu
Expertise 21.04.2016

Oil volatility driving global markets

Oil volatility driving global markets

Oil volatility headlined global markets. Brent prices collapsed on Monday after key producers failed to reach an agreement on an output freeze during a weekend meeting held in Doha.


After hitting a four month high last week, oil prices dropped -6.7% on Monday as fear of an oversupply glut resurfaced. However, the correction pared some losses following a Kuwaiti labor strike hit the local oil industry.

Since last Friday’s closing, the CSI 300 and the Shanghai SE Composite were down -1.04% and -1.15% respectively. Data from China rebounded broadly in March with industrial production picking up to 6.8% year on year (YoY), reaching a nine-month high while fixed asset investment beat market consensus by posting a 10.7% growth YoY. GDP growth for the first quarter of this year came in line with expectation at 6.7% YoY, slightly below 6.8% growth in previous quarter. China trade numbers recovered from last month with exports and imports growing at 18.7% and -1.7% respectively, both figures beating market expectation. In the property sector, easing policies appeared to be effective with prices recovering and more recently construction starting to turn positive. Property sales were up 6.5% last year and surged 33% YoY in the first three months of 2016. In Hong Kong, property developers New World Development (7.85 HKD, +0.77%) and Hang Lung Properties (15.96 HKD, +1.27%) supported the Hang Seng index, which was up +0.56% since Friday. On the worst performing side, telecommunication service provider China Unicom (9.74 HKD, -2.60%) issued a profit warning.

In Japan, the NIKKEI 225 and TOPIX closed on Monday down -3.40% and -3.03% respectively. In addition to a weakening dollar that strengthened the yen, a magnitude-7 earthquake hit Kumamoto where Honda (3078 JPY, +1.42%), Toyota (5680 JPY, -1.05%) and Sony (2913.5 JPY, -0.73%) announced temporary operations’ suspension at their respective plants. Both indexes rebounded on Tuesday with Kuraray Co. (1428 JPY, +4.85%) and Asahi Kasei Corp (769.8 JPY, +4.59%) ranking among NIKKEI 225 best performers since Friday.

South Korea’s KOSPI started the week declining -0.17%. On the political scene, South Korea’s Saenuri ruling conservative party suffered an unexpected defeat against the main opposition The Minjoo Party, as Ms. Park has been criticized over rising unemployment, falling exports and rising levels of household debt. Out of the 300 seats in the single-chamber national assembly, The Minjoo party won 123 seats, Saenuri 122 seats and the People’s Party 38. Prior to recent defections, Saenuri party held a majority with 157 of the 300 seats.


Guillaume_Poncet.jpg

Guillaume Poncet
Analyst

Newsletter

Sign up to receive UBP’s latest news & investment insights directly in your inbox

Click and enter your email address to subscribe

Investissement responsable

Quand l’investissement responsable crée de la valeur

Plus d'infromation sur l'investissement responsable UBP

Regarder la vidéo

Actualités les plus lues

UBP dans la presse 17.04.2018

Les bénéfices des banques privées se sont envolés en 2017

Le Temps (16.04.2018) - Pourquoi les bénéfices et les masses sous gestion des banques privées genevoises ont clairement progressé l’an dernier ? L’analyse du patron de l’UBP Guy de Picciotto sur les tendances qui ont marqué 2017 et qui influenceront l’avenir

 

UBP dans la presse 16.04.2018

Asset TV Masterclass: Alternative Investments

With the correlation benefits of equities and bonds waning, investors are increasingly on the hunt for assets that act as true diversifiers. Olivier Marion, Head of Business Development & Senior Investment Specialist Alternative Investments at UBP, recently participated in an Asset TV Masterclass making the case for alternative investments.

UBP dans la presse 12.04.2018

Consolidation spells opportunity for UBP

The Business Times (02.04.2018) - The Swiss family-owned private bank is always on the lookout for opportunities to grow, and believes its investments in Asia have paid off.

A lire également

UBP dans la presse 17.04.2018

Les bénéfices des banques privées se sont envolés en 2017

Le Temps (16.04.2018) - Pourquoi les bénéfices et les masses sous gestion des banques privées genevoises ont clairement progressé l’an dernier ? L’analyse du patron de l’UBP Guy de Picciotto sur les tendances qui ont marqué 2017 et qui influenceront l’avenir

 

UBP dans la presse 16.04.2018

Asset TV Masterclass: Alternative Investments

With the correlation benefits of equities and bonds waning, investors are increasingly on the hunt for assets that act as true diversifiers. Olivier Marion, Head of Business Development & Senior Investment Specialist Alternative Investments at UBP, recently participated in an Asset TV Masterclass making the case for alternative investments.

UBP dans la presse 12.04.2018

Consolidation spells opportunity for UBP

The Business Times (02.04.2018) - The Swiss family-owned private bank is always on the lookout for opportunities to grow, and believes its investments in Asia have paid off.