US dollar bill to represent American economic update

Our Brief Weekly Economic and World Markets Overview from Quilter Cheviot

Economic Overview

by Richard Carter, Head of Fixed Interest Research

“It has been an eventful few days on the macro front and fortunately the news was generally pretty good. On Wednesday night, the US Federal Reserve cut interest rates once again as they continue to try to head off an economic slowdown. This was followed up by a better than expected US jobs report as well as upbeat comments from the President Trump and his top officials about US-China trade talks. A slight fly in the ointment was the US ISM manufacturing index as it fell further into contraction, although some of the closely watched components like new orders actually showed some improvement…”

Market Overview

By Alan McIntosh, Chief Investment Strategist

“US shares led the charge last week bolstered by three factors. Firstly, the US Federal Reserve cut interest rates for the third time this year. (Although this event was well anticipated there was always the residual risk that it didn’t happen.) Secondly, Friday’s US labour market data showed an economy that continues to generate a strong increase in jobs. Combine this with annual wage growth of 3%, comfortably above inflation, and you are left with a nice rise in disposable real incomes… ”