Six government ministers resigned this week following Prime Minister Theresa May’s proposed Brexit deal. Although May’s Cabinet members agreed to back this draft of the deal, some of its terms have been met with opposition. Shares of PG&E plummeted close to 30% on Thursday following reports that the electric company may face extensive litigation if it is found liable for Camp Fire, which has raged across Northern California for the past week. Later, investors’ concerns were somewhat alleviated as a state energy regulator hinted that the company may receive state support if faced with large financial responsibilities that might otherwise drive energy prices up and put customers at a disadvantage.
Equities attempted to rally toward the end of the week as sentiment rose surrounding President Trump and his willingness to make a trade deal with China this month at the G-20 summit, but they were unable to recover on a weekly basis. Both U.S. large and small company stock indices declined greater than 1% to close the week before the Thanksgiving holiday out. International developed country stocks similarly declined while emerging markets had some reprieve to their YTD losses. As the Treasury yield curve flattened slightly, fixed income investments saw positive returns on a shortened trading week.
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