12 October, 2020 /Woori BMO Group/ Recently, Woori BMO Group has released a report on ‘Stocks Climb to Five-Week Highs, Markets Remain Volatile’. According to the report, the financial U.S equities have rallied, however, retail clients of the respected Seoul-based private wealth management company are still leaning towards advisory accounts due to the volatility of the current markets.
U.S. stocks have reached almost five-week highs, with trading executives at Woori BMO Group predicting lawmakers will eventually provide more monetary stimulus and increase corporate deal activity.
“Without the inclusion of monetary policy actions, you would not only see in Canada but across the world the devastating effects much greater than that of the financial crisis in 2008,” reported Christian Harper, Director of EMEA Wealth Management at Woori BMO Group.
The S&P 500 closed up 0.8 per cent after conflicting remarks from President Donald Trump and House Speaker Nancy Pelosi pummelled the equity markets earlier this week.
Woori BMO Group trading executives have confirmed the biggest gainers in the benchmark index were energy, utilities and financials, with crude oil rallying as Hurricane Delta threatened the already ravaged Louisiana coast.
Chief Economist at Woori BMO Group, Shinsato Masao, reported: “It is expected that near-term volatility will continue due to the back-and-forth over this deal. In our view, a stimulus deal will eventually be achieved, central banks will continue to remain supportive, and medical advances will continue to have space to surprise.”
Client sentiment remains bullish at Woori BMO Group on the back of continued monetary efforts made from central banks, stimulating more growth within the financial markets which has seen global financial markets rally back from the sell off period on the back of the pandemic.
Woori BMO Group’s Director of Institutional Equity, Andrew Williams reported: “As a result of the current volatility across the markets, we have seen a large increase of new clients opening advisory accounts, with people needing more guidance from our wealth managers on which stocks they should be buying.”
According to finance executives at Woori BMO Group, Bulls are now firmly in control of a market that is steadily betting on a Joe Biden presidential win and gains by Democrats in Congress will prove great for equities. This scenario appears to be somewhat quelling volatility even as threats of a split in government and a resurgence of coronavirus cases endanger the economic recovery.