- Emerging markets hit a rough patch. Argentina showed it was not immune to political risks, as its stock market plummeted 48% after poll results, sending a shockwave across financial markets. The Argentinian peso also felt the heat after it closed more than 7% weaker against the dollar. China’s economy showed signs of struggle after growth in industrial output and retail sales data slowed.
- European stock markets extended their losing streak. The decline was led by Britain’s FTSE 100, which dropped to a six-month low. Further gloom prevailed in the markets as Germany’s economy shrank in the second quarter, driven by a decline in exports, signaling recession.
- Within commodities, gold rallied, while oil continued to tumble. This activity echoed prevailing market sentiment.
- Shares of General Electric tanked. The stock plummeted 11% after a private financial investigator accused the firm of indulging in accounting fraud at a magnitude higher than that of the Enron scandal.
- Inflation accelerated in the US. The Consumer Price Index rose a seasonally adjusted 0.30% last month from June, which was driven by the Energy, Health Care, and Real Estate sectors and the transportation industry.
Click here to download the complete weekly report: EWMWeeklyReview 8.19.19
Disclosure: Past performance is not necessarily indicative of future results.