Almost all signs pointed to Risk On as the S&P 500 closed the week above 4500 for the first time ever. Energy (+7.4%) and Financials (+3.4%) were the main drivers with Tech (+1.4%) more subdued and Utilities (-2%) bringing up the rear. Crude had another banner week, gaining above 10%, and helped keep the broad energy sector afloat. Commodities, in general, flashed green with Gold gaining 2% and being the underperformer in the precious metals space. Copper (+5%) and Iron Ore (+8%) continued their rebound and even grains got in on the action with Corn (+3.1%) and Oats (+5.5%) leading the way. EM gains outpaced their counterparts in the developed markets as well.
The US dollar was the worst-performing currency and the commodity currency complex (CAD, AUD, NZD, ZAR) all outperformed. AUD and NZD wiped out almost all the decline from the prior week. In the prior week, the Delta variant concerns drove asset prices lower and caused the RBNZ to push back a rate hike. With the significant rally in FX and Equities, volatility was lower across the board. The US yield curve got steeper on the week after the much-awaited Jackson Hole address on Friday, which yielded little by way of new information. The Fed plans to start tapering asset purchases by the end of the year given the gains in the labour market continue. The start/pace of the tapering is still subject to speculation. The main event of the week ahead will be the NFP (Non-Farm Payrolls) number. It will be a key factor there as the US economy is expected to have added 750k jobs in August with the unemployment rate dipping to 5.2% (from 5.4% last month).Crypto had a tame week by comparison. Bitcoin and Ethereum traded within their recent ranges, closing the week marginally positive. Bitcoin will be looking to take another run at the 50k level soon and the USD weakness seen recently might help it along. Along with the pullout from Afghanistan, Hurricane Ida will dominate the news flow today. Ida hit New Orleans yesterday (on the 16th anniversary of Katrina). This is a Cat 4 storm as of now (5 being the highest on the scale) and the estimate of losses is around USD 40 bn. With a bulk of the global Crude supply chain based around the Gulf of Mexico, supply is bound to be affected. Estimates are that 1.74 mn barrels are taken offline (close to 2% of daily global supply). The broad sentiment appears positive in Asia so far but will be closely monitored to see how it evolves through the day.
By
Kristal Advisors
August 30, 2021
Liked it?
Share it with your friends & colleagues!
A fully digital onboarding process that can be completed within 15 minutes.
No more voluminous paperwork and queuing!
.svg)
We are licensed in Singapore, Hong Kong and India. Kristal Advisors (SG) Pte. Ltd. presently operates under the CMS license by the Monetary Authority of Singapore (MAS). Kristal Advisors (HK) Ltd is licensed and regulated by the Securities and Futures Commission (SFC) to carry out Type 4 and Type 9 regulated activities and is not involved in the discretionary management of any collective investment scheme. Kristal Advisors Private Ltd. presently operates as a Registered Investment Advisor under the jurisdiction of the Securities and Exchange Board of India (SEBI).
Read more about our privacy policy - Here
Copyright © 2023 Kristal Advisors (SG) Pte. Ltd. UEN: 201711235E
.png)
.png)
We are licensed in Singapore, Hong Kong and India. Kristal Advisors (SG) Pte. Ltd. presently operates under the CMS license by the Monetary Authority of Singapore (MAS). Kristal Advisors (HK) Ltd is licensed and regulated by the Securities and Futures Commission (SFC) to carry out Type 4 and Type 9 regulated activities and is not involved in the discretionary management of any collective investment scheme. Kristal Advisors Private Ltd. presently operates as a Registered Investment Advisor under the jurisdiction of the Securities and Exchange Board of India (SEBI).
Read more about our privacy policy - Here
Copyright © 2023 Kristal Advisors (SG) Pte. Ltd. UEN: 201711235E
WE ARE LICENSED IN SINGAPORE, HONG KONG, ABU DHABI, AND INDIA. KRISTAL ADVISORS (SG) PTE. LTD. PRESENTLY OPERATES UNDER THE CMS LICENSE BY THE MONETARY AUTHORITY OF SINGAPORE (MAS). KRISTAL ADVISORS (HK) LTD IS LICENSED AND REGULATED BY THE SECURITIES AND FUTURES COMMISSION (SFC) TO CARRY OUT TYPE 4 AND TYPE 9 REGULATED ACTIVITIES AND IS NOT INVOLVED IN THE DISCRETIONARY MANAGEMENT OF ANY COLLECTIVE INVESTMENT SCHEME. KRISTAL ADVISORS PRIVATE LTD. PRESENTLY OPERATES AS A REGISTERED INVESTMENT ADVISOR UNDER THE JURISDICTION OF THE SECURITIES AND EXCHANGE BOARD OF INDIA (SEBI). KRISTAL.AI MIDDLE EAST LIMITED IS LICENSED AND REGULATED BY THE FINANCIAL SERVICES REGULATORY AUTHORITY (FSRA) FOR CAT 3 A LICENSE.
Read more about our privacy policy - Here
Copyright © 2023 Kristal Advisors (SG) Pte. Ltd. UEN: 201711235E
USD 10,000
Minimum investment amount
ETF
Available Investment Products
Financial guide
Use while investing on Kristal
We encourage our India investors to use a financial guide. Kristal does not charge any additional fees for investing through them.
In case you already have a guide, we will try to bring them onboard. In case not, we can recommend one of our qualified partners to advise you through the journey.
I understand the financial products and would want to proceed with investing without a financial guide
Proceed
.png){kind=icon}
