Monthly Market Roundup September 2021 - Invesco
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Monthly Market Roundup
September 2021
Covering August 2021
This marketing document is for consumer use in the UK and for
Professional Clients, Financial Advisers and Qualified Investors
as specified in the important information section.
Overview
• Emerging markets lead the rest of world
• UK, European, Asian and US equity markets generally on an
upward curve
• Supply chain disruption becomes a growing issue globally
The month of August saw a general trend of recovery in both developed and emerging
markets globally, as countries continue the adjustment process against the backdrop of
the pandemic.
In the UK, equity markets ended August on a high, as the country continues to recover
strongly. Inflation also dropped unexpectedly, to the Bank of England’s target of 2% but
forecasts indicate that it will peak at 4% before dropping again by year end. Supply chain
disruption (which is having an impact globally) and staff shortages could cause a slow
down and put businesses under pressure.
European economies also continue their strong recovery. Markets saw further gains
in August, with IT, Utilities and Health Care leading the way. While eurozone consumer
activity levels (like leisure visits and spending) are at their highest level since before the
pandemic, inflation also peaked at 3%, the highest since 2011.
Likewise, Asian equity markets grew in August set against the context of a global
economic recovery as well as encouraging earnings reports. While outbreaks of the
Delta variant and the return of lockdowns in China did impact markets, Japan and Taiwan
showed encouraging signs.
The most positive performance came from emerging markets (EM), where equities
outperformed the rest of the world. Europe, Middle East and Africa (EMEA) EMs performed
the strongest. The Philippines and Thailand led the way in Asia and Argentina in Latin
America. In contrast, Pakistan, Brazil and Korea saw less positive outcomes.
01 Monthly Market Roundup September 2021• UK market up this month
UK • Inflation drops but will likely fluctuate through year end
• Supply chain disruption threatens progress
The UK equity market ended higher in August as the country continues its strong recovery.
However, global supply chain disruption and staff shortages could mean a slow down as
businesses come under pressure.
The economy grew 4.8% during the second quarter of this year. Pent-up demand and
eased coronavirus restrictions saw a resurgence in consumer spending. Growth was
slower than the Bank of England’s 5% forecast, with the economy remaining below pre-
pandemic levels and lagging the recoveries seen in the US and Europe. However, Office
of National Statistics (ONS) predictions show the economy is on a path to return to pre-
pandemic levels of output before the end of the year if Covid-19 remains under control.
The Flash Composite Purchasing Managers Output Index (PMI) for August showed
UK’s recovery slowed as staff shortages and blockages in supply chains left businesses
struggling to meet demand. The IHS Markit/CIPS flash composite PMI dropped for the
third consecutive month (from 59.2 in July to 55.3 in August), sinking to a six-month low.
But the reading remains above the all-important 50-level, indicating that companies still
expect to grow.
Year-on-year inflation fell to 2% in July (2.5% in June). This fall is largely technical due to the
extreme price rises last year when the service sector reopened after the first lockdown.
The Bank of England expects inflation to rise again, perhaps reaching 4% in the autumn.
The Bank insists some modest interest rate changes may be needed over the next two
years. Driver shortages, increased checks on imports and rising fuel, freight and raw
material prices keep the pressure on food prices.
The UK’s public finances beat expectations, underpinned by a strong economic recovery
from the coronavirus crisis which boosted tax revenues. Public sector net borrowing in
July was £10.4bn - half the level of July last year. Borrowing in the 2021-22 financial year
was significantly less than the Office for Budget Responsibility (OBR) had forecast in
March’s Budget. The cumulative borrowing figure in the first third of the financial year was
£78bn, well below the OBR estimate of £104bn.
02 Monthly Market Roundup September 2021• European markets continued to grow
Europe • Inflation hits 10-year record high at 3%
• Consumer-led recovery blazing the trail
August saw further gains in European markets, led by IT, Utilities and Health Care as
European economies continued their strong recovery. Most companies posted their
second quarter earnings, so the percentage of European companies that beat analysts’
earnings estimates hit a five-year high during the period.
The IHS Markit Flash Composite Purchasing Managers’ Index reached 59.5 in August,
slightly down from its 15-year high of 60.2 in July. A reading above the 50 mark indicates
that most businesses reported an expansion in activity compared with July. Hiring and
input costs both rose as manufacturing contends with supply chain disruption.
European equities were boosted by the European Central Bank (ECB) pledging to keep
benchmark interest rates at historically low levels until inflation persists “durably”
above its 2% target. Like the US Federal Reserve, the ECB purchased large quantities
of government bonds during the pandemic, lowering the yields on debt securities and
making riskier assets, like equities, more attractive.
Inflation in the eurozone has hit its highest level since 2011, 3% in August - exceeding most
economists’ expectations. German inflation has risen to 3.4%, its highest level since 2008.
This put pressure on the ECB to slow the pace of its bond purchases, as the current loose
monetary policy could cause its largest economy to overheat. The rise is driven by the
continued economic rebound, higher energy costs and bottlenecks in supply chains, but
also partly due to base effects such as the reversal of the German VAT cut.
High-frequency indicators across the eurozone show that activities like leisure venues
visits, spending, travel and hiring are all at or near their highest levels since the start of the
pandemic; consumer-led recovery and economic activity continue despite the spread of
the Delta variant. This is mainly because vaccination rates have exceeded the US and, in
some cases, even UK levels.
At the other end, escalating supply chain delays are fuelling concern among businesses
about the prospects for the next few months. German truck mileage, a proxy for industrial
production, has been on a downward trend since its March peak, according to the
country’s statistics office. The airline industry continues to struggle and while European
flight numbers are at their highest levels since early 2020, they’re still 30% below 2019
levels.
Inflation in the eurozone has hit its highest level since 2011,
3% in August - exceeding most economists’ expectations.
German inflation has risen to 3.4%, its highest level since
2008.
03 Monthly Market Roundup September 2021• Asian equity markets made up ground
Asia • China’s manufacturing sector contracts for first time
since April 2020
• Delta variant hinders growth
Asian equity markets were up in August in the context of a global economic recovery,
favourable economic data and upbeat earnings reports. Nonetheless, delta variant
outbreaks at the start of the month weighed on markets.
The Philippines, Thailand and India’s equity markets were the strongest performers in
August. Indian equities, which returned 11%1, were the largest contributors to regional
performance, underpinned by strong fiscal support, solid macroeconomic data, a large
increase in Initial Public Offerings (IPOs) and an improving vaccination programme. The
utilities and communications services were notable outperformers, while the materials,
consumer discretionary and healthcare sectors lagged.
Chinese equity markets remained flat and underperformed the broader region after the
country imposed new lockdown restrictions to tackle the worst wave of Covid-19 cases
since the first outbreak in March 2020. Markets were also impacted by a shift in focus of
Chinese regulatory authorities as more sectors, like medical cosmetics, chips and online
gaming came under scrutiny. China’s manufacturing sector shrunk for the first time since
April 2020, with the Caixin manufacturing Purchasing Manager’s Index (PMI), coming in at
49.2.
The energy and materials sectors performed best as markets priced in the potential
strengthening of cyclical stocks in the post-pandemic world. Hong Kong equity markets
lagged, as export and retail sales volume growth slowed, and composite Consumer Price
Index (CPI) inflation rate increased.
Korean equities marginally dipped, mainly on worries surrounding the Federal Reserve’s
sooner-than-expected interest rate raise. They recovered after Jerome Powell reassured
investors that policy changes will remain gradual and aren’t imminent. Despite a recent
drag in auto production, Korea’s industrial production rose slightly, month-on-month.
After a drop over concerns about monetary tapering in the US at the start of the month,
Taiwan equity markets ended August up after Powell’s reassurance and a recovering
semiconductor sector. Export orders expanded, unemployment was down, and positive
manufacturing PMI data signposted continuing expansion.
Japanese equity markets posted gains; while manufacturing PMI marginally fell (52.7), data
still points towards continued expansion in the country’s manufacturing sector.
1
Mumbai Sensex 30
The energy and materials sectors performed best as
markets priced in the potential strengthening of cyclical
stocks in the post-pandemic world.
04 Monthly Market Roundup September 2021• Emerging markets outperformed the world
Emerging
Markets
• Fed chair reassures investors about rate hikes
• Latin America region remained flat
August saw emerging market (EM) equities outperform the world. Europe, Middle East and
Africa (EMEA) performed the best, followed by emerging Asia and Latin American. South
Asia - the Philippines and Thailand - led returns, with only Argentina surpassing them
thanks to the outperformance of its main constituent, Globant. At the other end of the
scale, Pakistan, Brazil and Korea lagged.
Central banks in Latin America have been raising interest rates to avoid currency pressure
as supply chain shortages, growing domestic demand for goods and rising prices lead to
inflation. South Korea also became the first major Asian economy to raise interest rates.
The Delta variant weighed on EM markets particularly in Asia, where the Chinese
government imposed lockdown measures to combat its worst virus outbreak since the
beginning of the pandemic. However, at the annual Jackson Hole meeting Jerome Powell,
the chair of the US Federal Reserve (Fed), reassured that it is in no hurry to raise interest
rates, which helped push EM equities at the end of the month.
Indian equity markets outperformed the broader EM region, buoyed by the
outperformance of the utilities and communication services sectors, and was the biggest
contributor to EM’s performance. Year-to-date, Indian equities are up by more than 20%2
as they benefit from rising global liquidity, despite concerns of a third Covid-19 wave
increasing.
Argentina posted the strongest returns in the Latin America region, followed by Colombia
and Mexico, while Peru and Brazil pared gains. Most Latin America region sectors posted
positive returns, with IT leading while consumer discretionary lagged on performance the
most. 25% of Mexico’s total oil production (421,000 barrels per day) was lost after a fire on
an offshore platform. There were signs of a more dynamic recovery in Colombia after the
country’s central bank revealed higher than expected economic growth for the first half
of the year (9.1%). Peru’s underperformance was largely down to the political backdrop of
President Castillo taking office and growing political noise.
EM currencies marginally gained, as did the US dollar. Brent crude oil price ended down
by 5.5% month-on-month as the spreading delta variant led to restriction of movement in
China. Having fallen 14% during the month, oil prices recovered at month-end as China’s
lockdown measures eased and Hurricane Ida in Louisiana disrupted supply chains.
Commodity prices were up, driven by steel, while iron ore dragged on performance.
2
Mumbai Sensex 30
05 Monthly Market Roundup September 2021• US equity markets gained ground
US • Federal Reserve (Fed) considers tapering bond purchases
• Strong job reports but inflation remains elevated
US equity markets were up over August, with the S&P 500 index gaining 3%, buoyed
by positive returns in the financials and communications sectors. Energy dragged on
performance as oil prices fell.
In the annual Jackson Hole meeting, the Fed’s chair, Jerome Powell talked about
potentially starting the tapering process of reducing asset purchases before year end.
July’s labour market data, notably the non-farm payroll, beat forecasts creating 943,000
new jobs – a good indication of continuing economic recovery. Powell reassured investors
of very gradual policy changes, which helped strengthen investor confidence and
boosted global equity markets.
Although US Consumer Price Index (CPI) rose to 5.4% last month, there were tentative
signs that inflation has peaked as supply-chain disruptions caused by the pandemic work
their way through the system. Core CPI, which excludes the volatile food and energy
components, fell to 4.3% year-on-year from 4.5% in July. The tapering versus tightening
argument will be at the heart of the important Federal Open Market Committee (FOMC)
meeting on the 22nd of September.
Recent economic data in the US is mixed. Real estate and retail sales figures didn’t
quite reach expectations, but business indicators and household data showed signs
of improvement. Manufacturing Purchasing Manager’s Index (PMI) data continues to
highlight the expanding manufacturing sector, albeit dropping by 3.8% month-on-month
(61.1). The US dollar remains firm but may be threatened as Covid concerns could push the
Fed to delay tapering.
The US, as well as many Western countries are still experiencing a wave of Covid-19
cases and deaths amidst decelerating vaccine rollouts as the percentage of vaccinated
population over the summer barely increased. However, thanks to the immunisation of
more than half the population (52.7%), the macroeconomic impact of the latest wave of
infections is turning out to be less detrimental than previous ones.
The tapering versus tightening argument will be at the
heart of the important Federal Open Market Committee
(FOMC) meeting on the 22nd of September.
06 Monthly Market Roundup September 2021• Strong US jobs report puts pressure on the Federal
Fixed
Income
Reserve to taper its monthly bond purchases
• Inflation in euro area surges to 10-year high but falls in the
UK
• Government and corporate bonds registered small
monthly losses
Government bonds saw modest declines as a strong US labour market report combined
with a rise in inflation in the euro area ignited fresh debate on whether central banks
should embark on phasing out pandemic-era stimulus. With the prospect growing that the
US Federal Reserve could start the tapering process of reducing asset purchases before
year end, the yield on the 10-year treasury increased from 1.22% to 1.31%. While remaining
in negative territory, bund yields on the 10-year note also rose, up 10 basis points (-0.46%
to -0.36%) and UK gilts (10-year) increased from 0.57% to 0.71%.
In credit markets, corporate bonds spreads (the additional yield over government bonds)
were little changed. Sterling investment grade spreads tightened from 107bps to 105bps,
while euro investment grade widened from 85bps to 86bps. With underlying government
bonds posting negative returns, so too did investment grade corporates. However, this
wasn’t the case for high yield bonds which continued their run of having recorded a
positive performance in every month of this year so far. European currency (€/£) went
from 319bps to 309bps.
It was a healthy month for issuance of investment grade corporate bonds with €28 billion
and £1 billion supply, according to data from Barclays. Supply was supported by attractive
funding costs.
Reflecting a strengthening economy, US data was generally positive. July’s non-farm
payroll rose to 943,000, the strongest show in 11 months and the unemployment rate
dropped from 5.9% to 5.4%. Although US CPI rose to 5.4% last month, there were tentative
signs inflation has peaked as supply-chain disruptions caused by the pandemic work
their way through the system. Core CPI, which excludes the volatile food and energy
components, fell to 4.3% on a year-on-year basis from 4.5% in the previous month.
With the euro area economy recovering broadly as expected and inflation surging to a
10-year high of 3% in August, European Central Bank (ECB) leaders began to speak up.
Austrian governor Holzmann and the Dutch central bank governor support reducing
the pace of asset purchases, i.e., tapering, in Q4, ending the ECB quantitative easing
programme in March 2022.
The ECB maintains that a raft of one-off factors, including production bottlenecks related
to the economy’s reopening after the Covid-19 pandemic, account for the bulk of the
inflation surge and that price growth will moderate early next year.
Surprisingly, it was a different story in the UK, as inflation unexpectedly dropped to the
Bank of England’s 2% target. The outturn could be a blip however as in an update the BoE
expects inflation to jump to 4% around the end of the year before easing back down again.
07 Monthly Market Roundup September 2021Government Bonds Yield to maturity1 (%)
31/08/2021 31/07/2021 31/05/2021 28/02/2021 31/08/2020
US Treasuries 2 year 0.21 0.18 0.14 0.13 0.13
US Treasuries 10 year 1.31 1.22 1.59 1.40 0.70
US Treasuries 30 year 1.93 1.89 2.28 2.15 1.47
UK Gilts 2 year 0.22 0.06 0.06 0.13 -0.06
UK Gilts 10 year 0.71 0.57 0.80 0.82 0.31
UK Gilts 30 year 1.06 0.99 1.30 1.39 0.89
German Bund 2 year -0.71 -0.76 -0.66 -0.66 -0.65
German Bund 10 year -0.38 -0.46 -0.19 -0.26 -0.40
German Bund 30 year 0.09 0.02 0.37 0.19 0.06
Source: Bloomberg LP, Merrill Lynch data. Data as at 31 Ausgust 2021. The yield is not guaranteed and may go down as well as up.
Corporate Bonds Yield to maturity1 (%)/Spread2 (bps)
31/08/2021
31/07/2021
31/05/2021
28/02/2021 31/08/2020
£ AAA 1.15 47 1.09 48 1.19 48 1.17 40 1.11 56
£ AA 1.19 56 1.11 57 1.21 57 1.18 51 0.94 67
£ A 1.53 87 1.48 89 1.65 90 1.67 85 1.54 114
£ BBB 2.01 127 1.97 130 2.14 133 2.18 135 2.26 186
€ AAA 0.02 54 -0.04 55 0.16 49 0.11 47 0.04 46
€ AA -0.05 57 -0.11 56 0.06 55 0.05 56 0.06 64
€ A 0.19 74 0.12 73 0.32 74 0.32 75 0.42 93
€ BBB 0.52 99 0.46 99 0.67 101 0.68 106 0.97 143
European High Yield (inc € + £) 3.03 309 3.05 319 3.10 310 3.22 330 4.28 459
Source: Bloomberg LP, ICE BofA. Data as at 31 August 2021. The yield is not guaranteed and may go down as well as up.
1
Yield to maturity – is the total return anticipated on a bond if the bond is held until it matures.
2
Credit spread – difference in yields offered by corporate bonds over government bonds, that have similar maturity but different credit quality.
Global currency movements – figures to 31 August 2021
Change Over:
Current 1 month 3 months 6 months YTD 2020 2019 2018 2017 2016 2015 2014 2013 2012
value (%) (%) (%) (%) (%) (%) (%) (%) (%) (%) (%) (%) (%)
Euro/US Dollar 1.18 -0.5 -3.4 -2.2 -3.4 8.9 -1.9 -4.6 14.1 -3.2 -10.2 -12.2 4.5 1.8
Euro/GB Sterling 0.86 0.6 -0.3 -1.0 -4.1 5.8 -5.8 1.2 4.1 15.7 -5.0 -6.7 2.4 -2.5
Euro/Swiss Franc 1.08 0.6 -1.6 -1.4 -0.1 -0.3 -3.6 -3.8 9.2 -1.3 -9.7 -1.9 1.5 -0.8
Euro/Swedish Krona 10.19 -0.1 0.5 0.0 1.4 -4.3 3.3 3.4 2.7 4.2 -2.6 6.5 3.2 -3.8
Euro/Norwegian Krone 10.26 -1.9 0.9 -1.9 -2.2 6.5 -0.5 0.6 8.3 -5.5 6.1 8.4 13.9 -5.2
Euro/Danish Krone 7.44 0.0 0.0 0.0 -0.1 -0.4 0.1 0.3 0.2 -0.4 0.2 -0.2 0.0 0.4
Euro/Polish Zloty 4.52 -1.0 0.9 0.0 -1.0 7.3 -0.8 2.7 -5.1 3.3 -0.4 3.1 1.8 -8.6
Euro/Hungarian Forint 348.52 -2.7 0.4 -3.8 -3.9 9.5 3.2 3.2 0.4 -2.1 -0.1 6.4 2.0 -7.5
US Dollar/Yen 109.97 0.2 0.4 3.2 6.5 -4.9 -1.0 -2.7 -3.7 -2.7 0.3 13.9 21.5 12.6
US Dollar/Canadian Dollar 1.26 1.2 4.6 -0.9 -1.1 -1.6 -4.7 8.4 -6.5 -2.8 19.1 9.3 6.8 -2.6
US Dollar/South African Rand 14.50 -0.7 5.5 -4.1 -1.2 5.0 -2.8 16.1 -9.9 -11.3 34.0 9.8 24.1 4.8
US Dollar/Brazilian Real 5.15 -1.2 -1.3 -8.1 -0.8 29.0 3.7 17.2 1.8 -17.8 49.0 12.5 15.1 9.9
US Dollar/South Korean Won 1159.46 0.8 4.4 3.2 6.7 -6.0 4.0 4.1 -11.5 2.6 7.7 3.9 -1.4 -7.6
US Dollar/Taiwan Dollar 27.67 -1.0 0.4 -0.7 -1.5 -6.3 -1.8 2.7 -8.0 -1.6 3.8 6.2 2.7 -4.1
US Dollar/Thai Baht 32.25 -2.0 3.4 6.0 7.5 0.8 -8.0 -0.8 -9.1 -0.5 9.5 0.6 6.9 -3.1
US Dollar/Singapore Dollar 1.34 -0.7 1.8 0.9 1.8 -1.7 -1.4 2.0 -7.7 2.1 7.0 4.9 3.3 -5.8
US Dollar/GB Sterling 0.73 1.1 3.3 1.3 -0.7 -2.9 -3.9 6.0 -8.6 19.4 5.8 6.3 -1.9 -4.3
GB Sterling/South African Rand 19.94 -1.8 2.1 -5.2 -0.4 8.0 1.1 9.7 -1.3 -25.7 26.7 3.3 26.6 9.5
Australian Dollar/US Dollar 0.73 -0.4 -5.5 -5.1 -5.0 9.5 -0.3 -9.8 8.3 -1.1 -10.7 -8.5 -14.0 1.7
New Zealand Dollar/US Dollar 0.70 1.0 -3.2 -2.6 -2.0 6.6 0.5 -5.4 2.4 1.4 -12.3 -5.4 -0.3 6.3
Source: Bloomberg, all figures subject to rounding.
An investment cannot be made into an index directly. The performance data shown
relates to a past period. Past performance is not a guide to future returns.
08 Monthly Market Roundup September 2021Global equity and commodity index performance – figures to 31 August 2021 (%)
1 month 3 months 6 months YTD 2020 2019 2018 2017 2016 2015 2014 2013 2012
Global US & Canada
MSCI World (US$) 2.5 6.0 16.4 18.3 16.5 28.4 -8.2 23.1 8.2 -0.3 5.6 27.4 16.6
MSCI World Value (US$) 1.7 1.0 13.6 17.9 -0.3 22.8 -10.1 18.0 13.3 -4.0 4.5 27.6 16.5
MSCI World Growth (US$) 3.3 11.1 19.0 18.4 34.2 34.2 -6.4 28.5 3.2 3.5 6.6 27.2 16.6
MSCI World Small Cap (US$) 2.5 2.0 9.3 17.1 16.5 26.8 -13.5 23.2 13.2 0.8 2.3 32.9 18.1
MSCI Emerging Markets (US$) 2.6 -4.0 -0.8 2.9 18.8 18.8 -14.3 37.8 11.8 -14.6 -2.0 -2.3 18.6
FTSE World (US$) 2.5 5.3 15.6 17.5 16.4 27.8 -8.7 24.1 8.7 -1.4 4.8 24.7 17.2
Dow Jones Industrials 1.5 2.9 15.4 17.0 9.7 25.3 -3.5 28.1 16.4 0.2 10.0 29.7 10.2
S&P 500 3.0 8.0 19.5 21.6 18.4 31.5 -4.4 21.8 12.0 1.4 13.7 32.4 16.0
NASDAQ 4.1 11.2 16.1 18.9 45.1 36.7 -2.8 29.7 9.0 7.1 14.8 40.2 17.7
Russell 2000 2.2 0.5 3.8 15.8 19.9 25.5 -11.0 14.6 21.3 -4.4 4.9 38.8 16.4
S&P/ TSX Composite 1.6 5.0 15.5 20.2 5.6 22.8 -8.9 9.1 21.1 -8.3 10.5 13.0 7.2
Europe & Africa
FTSE World Europe ex-UK € 2.2 6.7 19.5 20.9 2.9 27.6 -10.5 12.9 3.2 10.7 7.2 21.8 21.0
MSCI Europe 2.0 5.7 18.2 20.3 -2.8 26.8 -10.1 10.8 3.2 8.8 7.5 20.5 17.9
CAC 40 1.0 3.9 19.3 22.7 -5.0 30.5 -8.1 12.5 8.8 11.9 2.5 22.2 20.4
DAX 1.9 2.7 14.9 15.4 3.5 25.5 -18.3 12.5 6.9 9.6 2.7 25.5 29.1
Ibex 35 2.0 -2.2 9.1 11.5 -12.7 16.5 -11.5 11.3 2.5 -3.7 8.5 27.6 2.2
FTSEMIB 2.5 4.0 15.7 19.3 -3.3 33.8 -13.6 16.9 -6.5 15.8 3.0 20.4 12.2
Swiss Market Index (capital returns) 2.4 9.2 18.0 16.0 0.8 26.0 -10.2 14.1 -6.8 -1.8 9.5 20.2 14.9
Amsterdam Exchanges 4.9 11.6 22.6 28.1 5.5 28.5 -7.4 16.5 13.6 7.3 8.7 20.7 14.0
HSBC European Smaller Cos 2.8 2.1 13.4 17.4 15.3 23.7 -20.2 31.0 -2.5 7.0 -9.6 34.9 22.2
MSCI Russia (US$) 3.6 7.6 24.3 24.0 -11.6 52.7 0.5 6.1 55.9 5.0 -46.0 1.3 14.3
MSCI EM Europe, Middle East and 4.5 7.5 22.5 24.9 -7.3 19.9 -7.4 16.5 22.8 -14.5 -28.2 -3.9 25.1
Africa (US$)
FTSE/JSE Africa All-Share (SA) -1.7 -0.1 4.1 15.9 7.1 12.1 -8.4 21.0 2.8 5.3 10.9 21.5 26.7
UK
FTSE All-Share 2.7 3.4 13.3 14.6 -9.7 19.1 -9.5 13.1 16.8 0.9 1.2 20.8 12.3
FTSE 100 2.1 2.5 12.4 13.2 -11.4 17.2 -8.8 12.0 19.2 -1.4 0.7 18.7 10.0
FTSE 250 5.3 6.8 16.6 19.3 -4.6 28.9 -13.3 17.8 6.7 11.2 3.7 32.3 26.1
FTSE Small Cap ex Investment Trusts 4.2 6.5 24.6 35.6 1.7 17.7 -13.8 15.6 12.5 13.0 -2.7 43.9 36.3
FTSE TechMARK 100 8.8 13.3 25.1 23.1 7.3 39.2 -4.9 9.8 10.0 16.6 12.3 31.7 23.0
Asia Pacific & Japan
Hong Kong Hang Seng -0.1 -10.2 -8.8 -2.9 -0.2 13.0 -10.6 41.3 4.3 -3.9 5.3 6.6 27.4
China SE Shanghai Composite 4.4 -0.2 3.0 4.1 16.5 25.3 -22.7 8.8 -10.5 11.2 58.0 -3.9 5.8
(capital returns)
Singapore Times -2.4 -2.3 6.3 10.4 -8.1 9.4 -6.5 22.0 3.8 -11.3 9.6 2.9 23.3
Taiwan Weighted (capital returns) 2.3 4.5 12.0 21.3 27.0 28.8 -5.0 19.4 15.5 -6.9 11.2 15.0 12.9
Korean Composite (capital returns) -0.1 0.1 6.5 11.7 33.8 10.0 -15.4 23.9 5.2 4.1 -3.5 2.0 10.7
Jakarta Composite (capital returns) 1.3 3.4 -1.5 2.9 -5.1 1.7 -2.5 20.0 15.3 -12.1 22.3 -1.0 12.9
Philippines Composite (capital returns) 9.3 3.4 0.9 -4.0 -8.6 4.7 -12.8 25.1 -1.6 -3.9 22.8 1.3 33.0
Thai Stock Exchange 8.2 3.4 11.7 15.7 -5.3 4.3 -8.1 17.3 23.9 -11.2 19.1 -3.8 40.4
Mumbai Sensex 30 9.5 11.3 18.0 21.5 17.2 15.7 7.2 29.6 3.5 -3.7 32.0 10.7 28.0
Hang Seng China Enterprises index -0.3 -14.2 -16.4 -12.5 0.0 14.5 -10.0 29.6 1.4 -16.9 15.5 -1.4 19.7
ASX 200 2.5 6.0 14.9 17.0 2.3 25.0 -1.5 13.4 13.4 4.2 7.1 22.0 22.2
Topix 3.2 2.1 6.3 9.9 7.4 18.1 -16.0 22.2 0.3 12.1 10.3 54.4 20.9
Nikkei 225 (capital returns) 3.0 -2.7 -3.0 2.4 16.0 18.2 -12.1 19.1 0.4 9.1 7.1 56.7 22.9
MSCI Asia Pac ex Japan (US$) 2.2 -4.7 -2.6 2.1 23.1 19.8 -13.5 37.8 7.4 -8.8 3.5 4.1 23.2
Latin America
MSCI EM Latin America (US$) 0.9 -0.6 16.6 5.5 -13.6 17.8 -6.2 24.2 31.4 -30.9 -12.1 -13.2 8.8
MSCI Mexico (US$) 5.6 6.0 27.9 23.0 -1.7 11.6 -15.4 16.2 -9.1 -14.4 -9.3 0.1 29.1
MSCI Brazil (US$) -2.2 -3.3 17.7 1.6 -18.9 26.7 -0.1 24.5 66.7 -41.2 -13.8 -15.8 0.2
MSCI Argentina (US$) 30.5 38.7 41.5 38.1 12.3 -20.7 -50.8 73.6 5.1 -0.4 19.2 66.0 -37.1
MSCI Chile (US$) 4.7 -3.2 -7.4 0.0 -4.2 -16.2 -18.9 43.6 16.8 -16.8 -12.2 -21.4 8.3
Commodities
Oil - Brent Crude Spot (US$/BBL) -5.5 3.6 10.6 39.2 -23.0 24.9 -20.4 20.6 55.0 -35.9 -49.7 -1.0 4.1
Oil - West Texas Intermediate (US$/BBL) -7.4 3.3 11.4 41.2 -20.5 34.5 -24.8 12.5 45.0 -30.5 -45.9 7.2 -7.1
Reuters CRB index 0.0 6.1 14.6 30.1 -9.3 11.8 -10.7 1.7 9.7 -23.4 -17.9 -5.0 -3.3
Gold Bullion LBM (US$/Troy Ounce) -0.6 -4.5 4.1 -3.9 23.9 19.1 -1.3 11.9 9.1 -11.4 -0.2 -27.8 5.7
Baltic Dry index 25.5 59.2 146.7 202.5 25.3 -14.2 -7.0 42.1 101.0 -38.9 -65.7 225.8 -59.8
Source: Blomberg, total returns in local currency unless otherwise stated.
An investment cannot be made into an index directly. The performance data shown
relates to a past period. Past performance is not a guide to future returns.
09 Monthly Market Roundup September 2021Investment risks The value of investments and any income will fluctuate (this may partly be the result of exchange rate fluctuations) and investors may not get back the full amount invested. Important information This marketing document is for consumer use in the UK, Professional Clients and Financial Advisers in Continental Europe as defined below, Qualified Investors in Switzerland and Professional Clients in Cyprus, Dubai, Ireland, Isle of Man, Jersey, Guernsey and Malta. It is not intended for and should not be distributed to, or relied upon, by the public anywhere other than the UK. By accepting this document, you consent to communicate with us in English, unless you inform us otherwise. Where individuals or the business have expressed opinions, they are based on current market conditions, they may differ from those of other investment professionals, they are subject to change without notice and are not to be construed as investment advice. This document is marketing material and is not intended as a recommendation to invest in any particular asset class, security or strategy. Regulatory requirements that require impartiality of investment/investment strategy recommendations are therefore not applicable nor are any prohibitions to trade before publication. The information provided is for illustrative purposes only, it should not be relied upon as recommendations to buy or sell securities. For the distribution of this document, Continental Europe is defined as Belgium, Finland, France, Italy, Luxembourg, The Netherlands, Norway, Spain, Sweden, Liechtenstein, Germany and Austria. Issued in Austria by Invesco Asset Management Österreich – Zweigniederlassung der Invesco Asset Management Deutschland GmbH, Rotenturmstrasse 16-18, 1010 Wien, Austria Issued in Belgium, Cyprus, Finland, France, Italy, Luxembourg, Malta, Netherlands, Norway, Spain and Sweden by Invesco Asset Management S.A., 16-18 rue de Londres, 75009 Paris, France Issued in Dubai by Invesco Asset Management Limited PO Box 506599, DIFC Precinct Building No 4, Level 3, Office 305, Dubai, United Arab Emirates Regulated by the Dubai Financial Services Authority Issued in Germany by Invesco Asset Management Deutschland GmbH An der Welle 5, 60322 Frankfurt am Main, Germany Issued in Ireland by Invesco Asset Management Limited Perpetual Park, Perpetual Park Drive, Henley-on-Thames, Oxfordshire RG9 1HH, UK Authorised and regulated by the Financial Conduct Authority Issued in the Isle of Man by Invesco Management S.A. 37A Avenue JF Kennedy, L-1855 Luxembourg Issued in Jersey and Guernsey by Invesco International Limited 2nd Floor, Orviss House, 17a Queen Street, St Helier, Jersey, JE2 4WD Regulated by the Jersey Financial Services Commission Issued in Switzerland and Liechtenstein by Invesco Asset Management (Schweiz) AG, Talacker 34, 8001 Zurich, Switzerland Issued in the UK by Invesco Asset Management Limited Perpetual Park, Perpetual Park Drive, Henley-on-Thames, Oxfordshire RG9 1HH, UK Authorised and regulated by the Financial Conduct Authority EMEA 1826021/2021
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