Introducing: ESB

Wall Street stocks had their best week in nearly three months as strong corporate earnings tempered nerves about inflation. The S&P 500 rose 0.8 per cent on Friday for a gain of nearly 2 per cent over the past five days, its best weekly performance since late July. Industrial and financial groups helped drive the market higher.

The gains continued from Thursday’s trading session, which marked Wall Street’s best daily performance for eight months as upbeat earnings tempered fears of inflation. Stock and bond markets have for weeks been dogged by worries about surging energy prices, jammed-up supply chains and companies failing to pass on higher costs to consumers.

As we predicted, we saw better than expected quarterly earnings reports from Wall Street banks, which lifted the mood. Goldman Sachs capped off a stellar quarter for investment banking revenue, beating analysts’ expectations and pulling in $3.7bn in M&A advisory fees — an 88 per cent increase from the previous year. The record investment banking fees seen across Wall Street have boosted results amid lacklustre performances in other areas such as trading revenue, which surged in the early phases of the pandemic due to extreme market volatility.

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In Europe, the regional Stoxx Europe 600 index closed up 0.7 per cent, delivering a weekly rise of more than 2 per cent. London’s FTSE 100 added 0.4 per cent, meaning a weekly gain of 1.93%. All round, this was a good week for stocks.

Europe

FTSE 100: 1.93%
Dax: 2.49%
CAC: 2.42%

Rest of the World

S&P500: 1.81%
Nikkei: 1.94%
Shanghai: -0.55%


We would expect our traders to have faired well this week, but have any managed to beat the markets? Of course they have.

Nikkei Bias: 2.80%
SP500 Trader: 2.71%
European Index: 2.02%

But out on top this week, is actually TPP’s most popular strategy: European Stock Basket, with another fantastic performance of 3.02%. This now brings them to 91.6% on the year whilst maintaining a Sharpe Ratio of just under 3.

An incredible week for them, and all of you who are linked to them. Most portfolios on the Platform have added at least another 2% in the last 5 days which is remarkable. It will be interesting to see what happens next week as several strategies have implemented small short positions. Was the rally this week to good to be true, or will in continue?


For more information please feel free to email us here, or book in a call with one of our directors to hear more.