Equity markets dip as Europe toughens Covid restrictions

Share:

Europe has moved to implement tougher restrictions in a bid to stop the spread of Omicron, sending equities lower triggered by investors’ “renewed nervousness”.

Global equities fell 1.5% last week and are down a further 1-2% today, as Omicron continues to disrupt the economic recovery, according to Rupert Thompson, chief investment officer at UK-based wealth manager Kingswood.

He said that, should US markets start to follow suit, “this will leave markets off around 4-5% from their mid-November high”.

The latest drop in investor optimism can be attributed to “renewed nervousness” about Omicron, and restrictions being introduced in much of Europe, with the Netherlands now being back in full lockdown, Thompson said.”

Nevertheless, investment experts believe Omicron presents a temporary disruption to economic recovery, as booster jabs continue to evidence their effectiveness and anti-viral pills start to be rolled out to help reduce hospitalisations, he added.

Thompson said that economies have also now become much more adept at dealing with Covid-19 spikes over the past two years.

According to Fund Europe, “as far as global equities are concerned, central banks are now starting to unwind stimulus unleashed during the pandemic. This is likely to lead to further market volatility and limit the extent of future gains in equities on the back of further increases in corporate earnings.”

AJ Bell investment director Russ Mould said: “After battling endless headwinds in recent weeks, markets have finally been knocked over as the rapid spread of Omicron finally reaches panic mode. Tighter restrictions across parts of Europe and fears that we could see a circuit breaker in the UK, have put a chill in the air for investors.”

Mould added: “Trends seen on the FTSE 100 on Monday [20 December] would suggest investors are taking a much broader view of the situation. This isn’t simply a UK issue, it’s potentially a global problem.

“The biggest detractors to the FTSE 100’s 1.7% decline in points terms were oil, gas and mining companies and pharmaceutical providers. The former reflects concerns that commodities demand will weaken if the global economy takes a hit. But the drop in drug companies is perplexing given that the pandemic has emphasised the importance of having medicines and treatments to deal with a wide variety of healthcare issues.”

Source: Funds Europe

View our blog for market news and company updates.

Register to receive your
Sample Report

By clicking “Submit” I acknowledge I have read and agree to the Privacy Policy. Evenco will not share or sell your contact details with any third party sources.

Register your interest in one of our events

By clicking “Submit” I acknowledge I have read and agree to the Privacy Policy. Evenco will not share or sell your contact details with any third party sources.

Refer a colleague

Register to receive your Contributor Brochure

By clicking “Submit” I acknowledge I have read and agree to the Privacy Policy. Evenco will not share or sell your contact details with any third party sources.

Register to receive your Membership Brochure

By clicking “Submit” I acknowledge I have read and agree to the Privacy Policy. Evenco will not share or sell your contact details with any third party sources.

Register to receive your
Event Media Pack

By clicking “Submit” I acknowledge I have read and agree to the Privacy Policy. Evenco will not share or sell your contact details with any third party sources.

Privacy Policy

The data controller is: Evenco International Limited, 1 Ropemaker Street, London, Greater London, England EC2Y 9HT.

Evenco International is an executive conference organiser for the asset management community.

Your privacy is important to us. Accordingly we are committed to handling the personal information of all those we engage with responsibly and in a way that meets the legal requirements of the countries in which we operate.

This privacy policy explains the basis on which any personal data we collect from you will be processed by us in relation to the following:

Conference registration.
Email Marketing.
Face-to-face meetings with our Research team.

Except for the above, we do not process or analyse your information in any other way, including disclosing your information with third parties, unless required to do so by law.

Conference registration

If you sign up to attend one of our conferences, we will ask you to provide your professional details – in order to determine your suitability to attend our conference and share with you all logistical information. We will use this information internally to communicate with you. We request the following: name, job title, business address, email address and business telephone number. By attending our conferences we may pass the information we collect at registration to our conference sponsors. It gives our sponsors the opportunity to know who will be attending the conference. They can contact you after the conference for commercial reasons. It is, therefore, up to you whether you remain in contact with them. Evenco International will never share any of your personal data with potential sponsors without your explicit consent. After the conference, we will ask you to complete surveys regarding your experience with us. Information for us and the sponsors of the conference to which the feedback applies. We will check, of course, that you are happy to share your feedback and personal data with the sponsors. We will not share your feedback with other third parties without your explicit consent. There will be a photographer and/or videographer at our conferences. This may be used for future marketing material, our website and social media channels.

Email Marketing

When you register to attend one of our conferences, we will ask you if you wish to receive direct marketing from us regarding future conferences. You can choose to stop receiving them at any time by emailing info@evencointernational.es

Face to face meetings

Evenco International meets with its audiences prior to its events – meaning we will sometimes ask to meet you and ask you questions. We do not record these meetings. Any opinions that you express may be shared with specific sponsors – anonymously – on the condition that you give us your permission to do this.

Security

We ensure information once received is stored securely and only accessible with the correct authorisation. Electronic data and databases are stored on secure computer systems and we control who has access to information. However, a loss of personal data is known as a data breach. The General Data Protection Regulation imposes requirements on businesses to report breaches within 72 hours. We undertake to inform you if your personal data is compromised and there is a risk to your rights and freedoms as a result.

Contact Us

If you have any questions about this Privacy Policy or relating to our use of your information, write to our Data Protection Officer at Evenco International, 1 Ropemaker Street, London, Greater London, England EC2Y 9HT, or emailing info@evencointernational.es

Please also contact us if you wish to exercise your ‘Right to Access’ or ‘Right to be Forgotten’ under the General Data Protection Regulation.

Terms and Conditions

Evenco Analytics offers a free trial period for three months after subscribing to the service. You will not be charged for this product during your trial period. Before the trial expires, we will contact you to see if you wish to continue using the service and subscribe to a yearly subscription, where you can cancel if desired. You can also unsubscribe from Evenco Analytics for free at any time leading up to the first quarterly payment by contacting us at info@evencointernational.com. Standard rate for the product is £5k per annum, charged quarterly at £1250. Early bird and referral discounts are also available for subscribing to a full Evenco Analytics subscription – please contact us for more information. As our subscription is set up via invoicing, please note that there may be a short delay before you receive access to the platform, as we will need to approve your request.

Request a demo