Current Headline Points - 3.8.09

- The FTSE 100 closed on the last day of the month 23 points down at 4608.36, but still enjoying its best month in over six years.

- America's GDP figures showed the US economy shrank by 1% in comparison with a first quarter shrinkage of 6.4%.

- The property market showed signs of bottoming out, with the Nationwide Building Society posting results showing house prices in the UK rose 1.3% in July.

- Positive data also emerged in the US housing market, as new house sales increased by 11% in June; the sharpest in nearly nine years.

- The main talking points for the week ahead concern the MPC, who are expected to maintain interest rates at 0.5% and make a decision on whether to extend the programme of quantitative easing.

Andy

Equity markets enjoyed another positive week with all the major indices advancing, adding to the already significant gains since March - most leading stock markets have now seen three consecutive months of gains since their early March nadir.

In the commodity markets the price of crude oil rose above $66 per barrel - its highest level since last October - after the oil cartel Opec's upbeat assessment of demand conditions surprised the market, signalling that the global economy was moving ahead once more, especially in the Far East. Indeed, Japan's industrial production rebounded in April at its fastest rate for half a century - output surged 5.2% month-on-month, according to The Financial Times, fuelling hopes that the worst of the slump is now over. In India the economy expanded more than forecast in the first quarter of 2009, adding to evidence that the global recession is easing.

So by the end of the week investors' spirits were raise... Read more