Markets

Monthly markets review - April 2016

A look back at markets in April 2016, when oil prices gained and markets were surprised by a lack of action from the Bank of Japan.

06 May 2016

Market Views

Schroders

30 Minutes
Unstructured Learning Time

CPD Accredited
  • April proved a calmer month for equities after the volatility of the first quarter, with global equities posting gains for the month. Oil prices rose amid indications of a rebalancing in the market, such as lower US stockpiles.
  • US equities registered a modest advance, supported by resources and financials. However, GDP figures disappointed and the technology sector performed poorly.
  • Eurozone equities posted positive returns with gains for the energy sector and data showing GDP growth of 0.6% in the first quarter. Resource stocks also boosted the UK stockmarket.
  • In Japan, investors were surprised by the central bank’s decision to take no further policy action at the April meeting, which resulted in a sharp rise in the yen.
  • Emerging markets generated positive returns but lagged developed markets. Latin American markets were strong, with political development underpinning gains for Brazil.
  • In fixed income markets, major corporate bond markets advanced again, outperforming government bonds.