Quarterly market round-up
Flash Stats - Q4 2020
07 Jan 2021
In our regular market round-up, we take a look at what's happened in Q4 2020.
Announcements of effective vaccines allowed companies and markets to put near-term economic weakness in the context of a potential end to the pandemic in 2021. Global equity markets, oil and industrial metals prices rose in concert with US treasury yields in the fourth quarter.
Some of the headlines in Q4 2020 include:
- Q3 GDP releases show the initial rebound in activity was sharp as the major advanced economies emerged from lockdown: the US, eurozone, UK and Japanese economies grew 7.4%, 12.6%, 15.5%, and 5% respectively, over the quarter. Even so, annualised falls in output have been significant.
- Eurozone and UK composite PMIs have fallen but the global equivalent remains at a level signalling expansion, supported by solid readings in the US, China and elsewhere.
- UK headline inflation slowed more than expected falling from 0.7% in October to 0.3% year-on-year in November as restrictions to curb the spread of coronavirus were re-imposed.
- Though COVID-19 cases continue to rise at a global level, it appears increasingly likely that many advanced economies could vaccinate a large proportion of their most vulnerable citizens early in Q1 2021.
To find out more, download our update of all key market trends and statistics over the quarter.