Coronavirus Update

26th March 2021

Weekly Round Up

The FTSE 100 opened stronger today, though broadly unchanged on the week. Friday's positive rise follows a volatile trading week as European Covid-19 cases continue to increase. 

The EU has seen internal tensions mount due to the row over the distribution of vaccine supplies. Growing 'vaccine nationalism' is testing the fabric of the EU which has led Brussels to lash out at the UK, threatening to block supplies from the Netherlands. Tensions have calmed this week as both the UK and EU look to create a 'win-win' situation for their combined citizens.

US markets also remain relatively unchanged on the week, however not without volatility. Thursday saw the Dow Jones turnaround more than 500 points in the afternoon, having seen a fall of 350 points earlier in the trading day. The turnaround came as jobless claims hit the lowest level in over a year and economic recovery data posted better than expected results.

The yield on the US Treasury 10-year rose a further 0.04 percentage points to 1.67 per cent as investors continue to sell government debt on the basis of inflation fears.

Risers

James Latham, the UK distributor of timber, panels and decorative surfaces, announced their results this week stating that they expect 2021 revenue to be maintained; gross margins continue to show improvements. The share price rose 11.3% on the week.

Fallers

Rolls-Royce Holdings is the biggest faller in the FTSE100 this week. The aerospace and defence company announced that it expected its 2021 performance to continue to be challenged by a slow recovery in long-haul traffic growth. Shares are down 14.8%.