{"id":4537,"date":"2021-04-21T08:00:13","date_gmt":"2021-04-21T07:00:13","guid":{"rendered":"https:\/\/sarasinandpartners.com\/za\/?p=4537"},"modified":"2021-04-20T17:46:33","modified_gmt":"2021-04-20T16:46:33","slug":"the-week-in-markets-21-april-2021","status":"publish","type":"post","link":"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/","title":{"rendered":"The week in markets – 21 April 2021"},"content":{"rendered":"

Welcome to your weekly macroeconomic round-up, where we spotlight a few of the most significant events in the last week.<\/h3>\n

US inflation and retail sales both rise faster than expected<\/strong><\/h3>\n

US inflation, as measured by the consumer price index (CPI), rose by 2.6% year-on-year in March. That\u2019s up from 1.7% in February and ahead of the 2.5% expected by economists. The core inflation index \u2013 which strips out the effects of food and energy prices \u2013 rose by 1.6%.<\/p>\n

While higher inflation is to be expected given the base effects of extremely low oil prices this time last year, there are other factors driving prices higher. The US consumer market remains healthy, retail sales were 9.8% higher in March than February and 5.8% higher than expectations. Import prices have risen by 6.9% over the last year \u2013 an increase not seen since 2011 - thanks to a combination of supply chain difficulties and rebounding consumer demand.<\/p>\n

Although the Federal Reserve focuses its 2.0% inflation target on a different inflation measure (the personal consumption expenditures (PCE) rather than CPI), the two indices tend to track closely. This latest print will put further pressure on the Federal Reserve to maintain their dovish stance and commitment to hold interest rates where they are until the average inflation target and \u2018maximum employment\u2019 goals are achieved.<\/p>\n

UK trade with EU rebounds but growth remains sluggish <\/strong><\/h3>\n

Data for February shows that UK exports to the EU rebounded sharply, rising by 46.6% over the month, versus January\u2019s 42.0% drop. And while this increase still doesn\u2019t match pre-Brexit levels, it indicates that the initial Brexit teething problems have largely been overcome. Notably, UK imports of EU goods did not recover to the same extent.<\/p>\n

The recovery in trade was a feature in the UK GDP figures, which showed that the UK economy grew by 0.4% in February leaving the economy 7.8% smaller than a year earlier.<\/p>\n

Markets <\/strong><\/h3>\n

Markets were generally optimistic in the face of positive economic data. European equities (measured by the broad market Eurostoxx 600) extended their streak of weekly gains to 7 weeks, the longest series of gains since 2018. Perhaps surprisingly, given the inflation data, fixed income also shared in the gains over the week, as the US 10-year yield fell to below 1.6% for the first time since mid-March.<\/p>\n

The major market news in the week however, was centred on the IPO of the cryptocurrency exchange Coinbase. With an initial valuation of $76.9bn on its debut, that\u2019s higher than the market capitalisation of ICE, the New York Stock Exchange\u2019s parent company.<\/p>\n

Look out for next week\u2019s update, where we\u2019ll be focusing on PMI\u2019s results, the ECB meeting and UK inflation.<\/strong><\/p>\n

\n

All details in this article are provided for information purposes only and should not be misinterpreted as investment advice or taxation advice.<\/p>\n

Where the data in this article comes partially from third party sources the accuracy, completeness or correctness of the information contained in this publication is not guaranteed, and third-party data is provided without any warranties of any kind.\u00a0 Sarasin & Partners LLP shall have no liability in connection with third party data.<\/p>\n

\u00a9 2021 Sarasin & Partners LLP \u2013 all rights reserved.\u00a0 This article can only be distributed or reproduced with permission from Sarasin & Partners LLP. Please contact marketing@sarasin.co.uk.<\/p>\n","protected":false},"excerpt":{"rendered":"

Welcome to your weekly macroeconomic round-up, where we spotlight a few of the most significant events in the last week. US inflation and retail sales both rise faster than expected US inflation, as measured by the consumer price index (CPI), rose by 2.6% year-on-year in March. That\u2019s up from 1.7% in February and ahead of...<\/p>\n","protected":false},"author":62,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[28],"tags":[],"coauthors":[182],"class_list":["post-4537","post","type-post","status-publish","format-standard","hentry","category-markets"],"yoast_head":"\nThe week in markets - 21 April 2021 - Sarasin & Partners South Africa<\/title>\n<meta name=\"description\" content=\"US inflation and retail sales both rise faster than expected.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The week in markets - 21 April 2021 - Sarasin & Partners South Africa\" \/>\n<meta property=\"og:description\" content=\"US inflation and retail sales both rise faster than expected.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/\" \/>\n<meta property=\"og:site_name\" content=\"Sarasin & Partners South Africa\" \/>\n<meta property=\"article:published_time\" content=\"2021-04-21T07:00:13+00:00\" \/>\n<meta name=\"author\" content=\"Tom Kynge\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@sarasinpartners\" \/>\n<meta name=\"twitter:site\" content=\"@sarasinpartners\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Tom Kynge\" \/>\n\t<meta name=\"twitter:label2\" content=\"Estimated reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/\"},\"author\":{\"name\":\"Tom Kynge\",\"@id\":\"https:\/\/sarasinandpartners.com\/za\/#\/schema\/person\/73f878380f7878b8047f790b2c8b5697\"},\"headline\":\"The week in markets – 21 April 2021\",\"datePublished\":\"2021-04-21T07:00:13+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/\"},\"wordCount\":543,\"publisher\":{\"@id\":\"https:\/\/sarasinandpartners.com\/za\/#organization\"},\"articleSection\":[\"Markets\"],\"inLanguage\":\"en-GB\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/\",\"url\":\"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/\",\"name\":\"The week in markets - 21 April 2021 - Sarasin & Partners South Africa\",\"isPartOf\":{\"@id\":\"https:\/\/sarasinandpartners.com\/za\/#website\"},\"datePublished\":\"2021-04-21T07:00:13+00:00\",\"description\":\"US inflation and retail sales both rise faster than expected.\",\"breadcrumb\":{\"@id\":\"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/#breadcrumb\"},\"inLanguage\":\"en-GB\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/sarasinandpartners.com\/za\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"The week in markets – 21 April 2021\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/sarasinandpartners.com\/za\/#website\",\"url\":\"https:\/\/sarasinandpartners.com\/za\/\",\"name\":\"Sarasin & Partners South Africa\",\"description\":\"Sarasin & Partners\",\"publisher\":{\"@id\":\"https:\/\/sarasinandpartners.com\/za\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/sarasinandpartners.com\/za\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-GB\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/sarasinandpartners.com\/za\/#organization\",\"name\":\"Sarasin & Partners South Africa\",\"url\":\"https:\/\/sarasinandpartners.com\/za\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-GB\",\"@id\":\"https:\/\/sarasinandpartners.com\/za\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/sarasinandpartners.com\/za\/wp-content\/uploads\/2019\/12\/sarasinandpartners.svg\",\"contentUrl\":\"https:\/\/sarasinandpartners.com\/za\/wp-content\/uploads\/2019\/12\/sarasinandpartners.svg\",\"width\":532,\"height\":197,\"caption\":\"Sarasin & Partners South Africa\"},\"image\":{\"@id\":\"https:\/\/sarasinandpartners.com\/za\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/x.com\/sarasinpartners\",\"https:\/\/www.linkedin.com\/company\/sarasin-&amp;-partners\"]},{\"@type\":\"Person\",\"@id\":\"https:\/\/sarasinandpartners.com\/za\/#\/schema\/person\/73f878380f7878b8047f790b2c8b5697\",\"name\":\"Tom Kynge\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"The week in markets - 21 April 2021 - Sarasin & Partners South Africa","description":"US inflation and retail sales both rise faster than expected.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/","og_locale":"en_GB","og_type":"article","og_title":"The week in markets - 21 April 2021 - Sarasin & Partners South Africa","og_description":"US inflation and retail sales both rise faster than expected.","og_url":"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/","og_site_name":"Sarasin & Partners South Africa","article_published_time":"2021-04-21T07:00:13+00:00","author":"Tom Kynge","twitter_card":"summary_large_image","twitter_creator":"@sarasinpartners","twitter_site":"@sarasinpartners","twitter_misc":{"Written by":"Tom Kynge","Estimated reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/#article","isPartOf":{"@id":"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/"},"author":{"name":"Tom Kynge","@id":"https:\/\/sarasinandpartners.com\/za\/#\/schema\/person\/73f878380f7878b8047f790b2c8b5697"},"headline":"The week in markets – 21 April 2021","datePublished":"2021-04-21T07:00:13+00:00","mainEntityOfPage":{"@id":"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/"},"wordCount":543,"publisher":{"@id":"https:\/\/sarasinandpartners.com\/za\/#organization"},"articleSection":["Markets"],"inLanguage":"en-GB"},{"@type":"WebPage","@id":"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/","url":"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/","name":"The week in markets - 21 April 2021 - Sarasin & Partners South Africa","isPartOf":{"@id":"https:\/\/sarasinandpartners.com\/za\/#website"},"datePublished":"2021-04-21T07:00:13+00:00","description":"US inflation and retail sales both rise faster than expected.","breadcrumb":{"@id":"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/#breadcrumb"},"inLanguage":"en-GB","potentialAction":[{"@type":"ReadAction","target":["https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/sarasinandpartners.com\/za\/think\/the-week-in-markets-21-april-2021\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/sarasinandpartners.com\/za\/"},{"@type":"ListItem","position":2,"name":"The week in markets – 21 April 2021"}]},{"@type":"WebSite","@id":"https:\/\/sarasinandpartners.com\/za\/#website","url":"https:\/\/sarasinandpartners.com\/za\/","name":"Sarasin & Partners South Africa","description":"Sarasin & Partners","publisher":{"@id":"https:\/\/sarasinandpartners.com\/za\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/sarasinandpartners.com\/za\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-GB"},{"@type":"Organization","@id":"https:\/\/sarasinandpartners.com\/za\/#organization","name":"Sarasin & Partners South Africa","url":"https:\/\/sarasinandpartners.com\/za\/","logo":{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/sarasinandpartners.com\/za\/#\/schema\/logo\/image\/","url":"https:\/\/sarasinandpartners.com\/za\/wp-content\/uploads\/2019\/12\/sarasinandpartners.svg","contentUrl":"https:\/\/sarasinandpartners.com\/za\/wp-content\/uploads\/2019\/12\/sarasinandpartners.svg","width":532,"height":197,"caption":"Sarasin & Partners South Africa"},"image":{"@id":"https:\/\/sarasinandpartners.com\/za\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/x.com\/sarasinpartners","https:\/\/www.linkedin.com\/company\/sarasin-&amp;-partners"]},{"@type":"Person","@id":"https:\/\/sarasinandpartners.com\/za\/#\/schema\/person\/73f878380f7878b8047f790b2c8b5697","name":"Tom Kynge"}]}},"_links":{"self":[{"href":"https:\/\/sarasinandpartners.com\/za\/wp-json\/wp\/v2\/posts\/4537","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sarasinandpartners.com\/za\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sarasinandpartners.com\/za\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sarasinandpartners.com\/za\/wp-json\/wp\/v2\/users\/62"}],"replies":[{"embeddable":true,"href":"https:\/\/sarasinandpartners.com\/za\/wp-json\/wp\/v2\/comments?post=4537"}],"version-history":[{"count":0,"href":"https:\/\/sarasinandpartners.com\/za\/wp-json\/wp\/v2\/posts\/4537\/revisions"}],"wp:attachment":[{"href":"https:\/\/sarasinandpartners.com\/za\/wp-json\/wp\/v2\/media?parent=4537"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sarasinandpartners.com\/za\/wp-json\/wp\/v2\/categories?post=4537"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sarasinandpartners.com\/za\/wp-json\/wp\/v2\/tags?post=4537"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/sarasinandpartners.com\/za\/wp-json\/wp\/v2\/coauthors?post=4537"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}