We are approaching our 24th month of trading, and over the last two years, I hope we have proved that we can make excellent profits for our clients and do so in a structured and secure way. I hope that we have also shown you the highest level of customer service and treated everyone exceptionally, which we will continue to do for many years.
July is now over, and as per usual, we have created another profitable month ending at 4.4%. The 4.4% is particularly impressive when taking into account the rapid 13% decline in the dollar and our subsequent loss. Despite this, we still ended the month positively.
Steve Hill – CEO
Increasing Your Investment
Month on month, we are seeing a trend of fewer withdrawals and more deposits which means client sentiment in Novus Black is good. With almost a 2-year track record and a clean bill of health, Novus Black seems to have shrugged off the shackles of being too good to be true and instead can take its place as a reputable private investment fund. With that in mind, we are happy for clients to increase capital and are taking new deposits from existing clients.
To add more funds, please log into your www.novusblack.co.uk account and click deposit, then follow the on-screen instructions. Please note, as always and with your protection in mind, all funds will be deposited directly to our CASS Approved Cash Custodian (Globacap Ltd), and all deposits must be in increments of £5,000.
If anybody has any questions about increasing accounts, please let us know, and we will do our best to assist you.
Novus Black App – Launch Date
After months of designing, developing and planning, we finally have a launch date for the new app. With these things, we are always hesitant to give dates as things can go wrong; however, we are confident that you will be able to visit Google Play or Apple Store and download the Novus Black App in September. We will provide more information as and when it is available.
Customer Service Manager
We want to take a moment to introduce Onick Khan to the Novus Black team. Onick, like you, is a client of Novus Black and was so impressed with the ethics we adopt that he asked to be a part of it. From Wednesday, 2nd August, Onick will take the role of Customer Service Manager and will be available to support and assist Novus Black clients with all aspects. Over the next four weeks, Onick will contact all of you to introduce himself to you formally. We are delighted to have Onick onboard, and I am sure you will join me in wishing him every success.
July Trading Overview
In July 2023, central banks worldwide took notable actions in response to the economic situation: The Reserve Bank of Australia (RBA) maintained its benchmark interest rate at 4.10%, in line with market expectations, amidst moderate economic growth and stable inflation in the country.
The Bank of Canada (BOC) raised interest rates by 25 basis points to 5%, as anticipated by market participants, due to robust economic growth and concerns about surging inflation.
The Federal Reserve (FED) increased interest rates by 25 basis points to 5.50%, as widely expected, reflecting the strengthening US economy and rising inflationary pressures.
The European Central Bank (ECB) raised interest rates by 25 basis points to 4.25%, in line with market expectations, responding to signs of economic recovery in the eurozone.
Positive signs for the US economy were observed, with the FED’s preferred inflation metric cooling to levels last seen in 2021 and consumer spending showing strength. This bolstered optimism for a soft landing in the economy and resulted in a strong rally in US stock indices, particularly for mega-cap stocks like Meta and Tesla.
The Federal Reserve’s response to the economic conditions was a 25 basis points interest rate hike, reaching a 22-year high, and hinting at possible further adjustments. The US dollar index rebounded, closing at 101.700 with over a 0.6% increase, driven by stronger US economic data after a significant drop. Consequently, major currencies like EURUSD, GBPUSD, AUDUSD, and NZDUSD weakened against the dollar.
August Forecast
Key Takeaways
Overall, market sentiment remains cautious as we keep a close eye on various economic indicators and central bank actions. These events and data releases have the potential to impact financial markets significantly, and prudent investors will stay vigilant to adjust their strategies accordingly in response to changing market conditions.
In-depth overview.
August is set to be exciting, and we are very optimistic about producing a good month of profit. As we head into August, Novus Black will closely monitor several key events and economic indicators in the developed markets. These events have the potential to impact financial markets and investor sentiment. Let’s take a closer look at the major events to watch out for:
1. USD Non-Farm Employment Change:
This data is scheduled for release in the coming week and is closely watched by investors and policymakers alike. A strong employment report could indicate a robust economy, while a weak report may signal potential economic challenges.
2. RBA Expected to Raise Interest Rates by 25 Basis Points:
The Reserve Bank of Australia (RBA) is anticipated to raise its benchmark interest rate by 25 basis points in August. This move comes amid efforts to combat rising inflation and bolster economic growth. Such a decision by the RBA could have implications for various asset classes and foreign exchange markets, influencing investor strategies and overall market sentiment.
3. BOE Expected to Raise Interest Rates by 25 Basis Points:
Likewise, the Bank of England (BOE) is also expected to implement a 25 basis point rate hike in response to improving inflation data in the UK. This move is aimed at taming inflationary pressures and maintaining economic stability. The decision by the BOE can impact borrowing costs, consumer spending, and business investment, affecting the overall trajectory of the UK economy.
4. RBNZ Interest Rate Decision:
The Reserve Bank of New Zealand (RBNZ) will announce its interest rate decision in August. Investors will closely observe this decision to gauge the RBNZ’s stance on monetary policy and its outlook on the New Zealand economy. Any unexpected changes in interest rates or guidance from the central bank can lead to market volatility and trading opportunities.
Looking ahead to the entire month of August, the focus will remain on the US Non-Farm Payrolls (NFP) report and ISM business surveys. These indicators will provide insights into the health of the US economy, particularly in the manufacturing sector, and could impact the Federal Reserve’s future monetary policy decisions.
Furthermore, the interest rate hikes expected from the Bank of England, Reserve Bank of Australia, and the Reserve Bank of New Zealand will be closely scrutinized. We will assess the extent of these rate increases and the central banks’ outlook on inflation and economic growth.
In addition to the developed markets’ central bank decisions and employment data in the US, there will be significant attention on key economic indicators in Europe. GDP and inflation data releases will be closely watched, as they can provide crucial insights into the economic recovery in the eurozone.
Overall, market sentiment remains cautious as we keep a close eye on various economic indicators and central bank actions. These events and data releases have the potential to impact financial markets significantly, and prudent investors will stay vigilant to adjust their strategies accordingly in response to changing market conditions.
