Weekly Market Recap
Week in review
- Construction work done contracts 1.4% q/q
- Capital expenditure contracts 2.8% q/q
- Private sector credit increase 0.3% m/m
- China CaixinPMI manufacturing
- RBA official cash rate
- Australia 4Q real GDP
Thought of the week
The swift nature of the correction in global equities has caught investors off guard. This week’s chart looks at past instances of 10% market corrections for the U.S. S&P 500 from its peak. The current correction is the fastest in history, taking only six days. The 10% drop in 2018 was close at nine days, but otherwise investors would need to go back along way to find another correction as rapid. There are two questions investors now have to grapple with. The first is whether the market reaction has been overdone given the figures surrounding the spread of the coronavirus outside of China remain low as a share of the population. The second is whether the market recovery will be as swift. Too soon to tell on either.
Number of days for the S&P to fall 10% from its peak
JPMorgan Global Research Enhanced Index Equity Fund
To achieve a long-term return in excess of the benchmark by investing primarily in a portfolio of companies, globally; the risk characteristics of the portfolio of securities held by the Sub-Fund will resemble the risk characteristics of the portfolio of securities held in the benchmark.