The series of months with upward movement in the leading indexes, which started in March, was interrupted in September. We saw a decline in stock indexes due to the growing cases of COVID-19 globally. Meanwhile, the US dollar appreciated against all major currencies, and the currency pair EUR / USD weakened to 1.17. The restored growth of COVID-19 cases has also led to fears that the recovery of oil demand may stop, which has also affected the decline in oil prices in September.
After the growth of a series of economic indicators compared to the deep decline in March and April, for the first time we are seeing signs of a slowdown in the recovery. The US manufacturing data showed growth of just 0.4% in August after 3.5% in July, and retail sales declined in August by -0.1% from a 0.9% growth in July. The good news is that ISM's business surveys remain strong in September, with the manufacturing index rising to a 20-month high of 56 and the services index declining slightly to 56.9.
On the political front, the US elections are approaching, with the first presidential debate between Trump and Biden held in September. The race for the White House and control of the Senate have become even more important than usual given the pandemic and the inability to reach an agreement on additional fiscal stimulus.
Presentation of Mutual Fund “Compass Global Trends”
MF “Compass Global Trends” ended the month with a price per unit of 1,494 BGN, which is a decrease of -4.44% for the month and an increase of 10.82% compared to the beginning of the year.
Price for one unit of the fund for the period from April 1st 2014 until September 30th 2020.
Presentation of Mutual Fund “Compass Euroselect”
MF “Compass Euroselect”, with a share price of 0.9846 EUR, increased by 2.39% for the month and 1.41% compared to the beginning of the year.
Price for one unit of the fund for the period from July 16th 2018 until September 30th 2020.
Read more about the presentation of Mutual Fund “Compass Global Trends” and Mutual Fund “Compass Euroselect” in September, and find out more about the development of the global financial markets and management expectations HERE.