The expected risk premium for the Global Market Index (GMI) ticked lower in April, dipping for the second straight month. GMI — an unmanaged, market-value weighted mix of the major asset classes — is projected to earn an annualized 3.7% over the “risk-free” rate for the long term. (For details on the equilibrium-based methodology that’s used to generate the forecasts each month, see the summary below). Today’s updated estimate, which is based on data through the close of last month, slipped 10 basis points from last month’s 3.8% projection.
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● US Automakers Report Higher Sales In April | RTT
● US ISM manufacturing index flat in April but hiring turns negative | MarketWatch
● Consumer Sentiment in U.S. Rises to Second-Highest Since 2007 | Bloomberg
● US construction spending hits six-month low in March | Reuters
● Eurozone sentiment deteriorates slightly in May: Sentix | Reuters
● Eurozone manufacturing expansion continues in April: PMI | Markit
● China’s mfg. operating conditions deteriorate at strongest rate in a year | Markit
● Germany’s April mfg. output and new orders rise at weaker rates: PMI | Markit
● French mfg. sector remains stuck in contraction during April: PMI | Markit
● PMI shows Italy’s manufacturing sector growing at fastest pace for a year | Markit
● Spain’s manufacturing new order growth accelerates | Markit