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The Accumulator: pound's plunge papers over cracks

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The Accumulator: pound's plunge papers over cracks

Our exclusive Accumulator data table features the performance of all the major global stock markets, but in a week like the one we've just had, the headline numbers don't tell the whole story.

Given the turmoil that has engulfed Westminster over the last few days, as prime minister Theresa May struggles to save her Brexit deal, a 1.2% fall for the FTSE 100 for the five days to yesterday doesn't seem much.

But that doesn't tell the story of the divergent fortunes of UK blue-chips yesterday, with stocks focused on the UK domestic economy plunging and those with overseas earnings rallying, thanks to the pound's fall.

Over in the US, it's been a glum week, with the S&P 500 only snapping a five-day losing streak yesterday, with dominant technology stocks again weak.

Brexit fears have not been confined to the UK stock market either, with European markets also weak.

But the pound's heavy fall against other global currencies means that, in sterling terms, losses from US and European markets have barely registered.

It's a measure of the pace of the continued decline in the oil price, meanwhile, that a commodity priced in dollars that have risen 2.7% against the pound, is still 3.2% lower in sterling terms.

You can access The Accumulator here.

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