Market Report
MARKET REPORT Thursday 13th May 2021 Due to staff holidays the market report will be slightly shorter than normal. Market Headlines US consumer inflation rose 4.2% in April year-on-year, the most since 2008, ahead of the 3.6% rate expected and up from the 2.6% figure in March, further stoking inflation fears. The US Colonial pipeline reopened following the cyberattack, as it warned it would take several days before supplies returned to normal, with twelve states having declared a state of emergency amid consumers panic buying petrol and stations running dry. Japan’s service sector sentiment index fell to 39.1 in April, from 49.0 in March, the first drop in three months. The S&P 500 fell 2.1%, the Nasdaq dropped 2.7%, the Nikkei 225 dipped 2.5%, the Hang Seng lost 1.7%, whilst the Shanghai Composite closed down 1.0%. European markets were lower. Investments on our buy list Hipgnosis Songs Fund (SONG) - announced its latest acquisition, the catalogue of legendary Grammy Award winner Andy Wallace comprising 100% of producer, mixer and performance royalties on 17,242 songs. Collaborations include Aerosmith, Biffy Clyro, Blink-182, Bruce Springsteen, Coldplay, Foo Fighters, Guns N' Roses, Jeff Buckley, Kasabian, Linkin Park, Nirvana, Paul McCartney, Prince, Rage Against the Machine, Run D.M.C., Rush, Slayer, Sonic Youth, Stereophonics, System Of A Down and White Zombie. The growth in streaming continues to support the fund, which trades on a 3.9% premium to NAV with a 4.3% projected yield. We remain positive. Source: Alpha Terminal Redrow (RDW) - Jefferies increased its target price from 751p to 833p to accompany its BUY rating.
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