Global markets fell modestly as investors reacted to Q1 earnings in the US and oil prices’ unprecedented drop into negative territory. The MSCI AC World TR Index showed a -1.3% return for the week bringing the YTD return to -14.2%. Following back-to-back weekly gains investors may have sought to consolidate recent gains – the Dow Jones Industrial Average had recorded its best two-week return (15%) since 1938.
The turmoil in oil futures weighed heavily on overall sentiment early in the week. On Monday, the May futures contract for West Texas Intermediate crude oil, due to expire Tuesday, closed at -$37.63 per barrel – meaning that buyers were getting paid to take and store each barrel. The negative price move reflected technical issues and oversupply. CLICK HERE