We are soon to close April on what to seem a robust market. My outlook on the Macro level is still the same, meaning we should see cooling down period shortly.
The overriding concern for us is that the US economy and all of the significant other players in the global economy are incredibly over-indebted. And this debt is an obstacle to growth. It is also a factor that retards inflation and is the main ingredient that has controlled the environment of low-interest rates for an elongated period. The economy is very weak. We’re in a downturn.
The Swedish treasury held a town hall announcing that they will keep the Repo rate @ -0.25%. The Swedish krona weakened signific during the week to a new decade low against USD.
US Markets ground higher this week as first-quarter earnings pour in. The numbers have so far been better than expected (more below), sending the S&P 500 index to a new all-time high.
US Treasury yields ticked down to ~2.5% while gold prices ticked up to the ~$1,290 per ounce level. The dollar index strengthened to ~98 level while WTI oil prices ticked down to ~$63 per barrel. The Swedish krona weakened signific during the week to a new decade low against USD.
The portfolio strengthened 2.15% mainly driven by FX effects. The Swedish krona weakened signific during the week to a new decade low against USD.
With a weak Swedish currency, it is essential to diversify the savings into other country currencies. Below you find my portfolio divided into currencies.