As expected, the European Central Bank (ECB) delivered a 25bps rate hike on Thursday, raising the policy rate to 3.5% — the highest since August 2001. Moreover, the central bank maintained a hawkish bias, signaling…
According to BCA Research’s Geopolitical Strategy service, geopolitical risk will rise before the Ukraine war is resolved, punishing eastern European emerging market assets on a relative basis. Ukraine’s…
UK gilts have sold off sharply over the past month, particularly at the short end of the yield curve. The two-year yield has risen by over 100bps since mid-May, while 10-year yields have increased by just over 70bps –…
The message from the ZEW economic research institute’s June survey was mixed. On the one hand, the German Indicator of Economic Sentiment unexpectedly ticked up from -10.7 to -8.5. While the negative reading indicates that…
According to BCA Research’s European Investment Strategy service, the Dutch market will be the main European beneficiary of expanding spending on AI. The crucial factor constraining the deployment and expansion of AI is…
The AI revolution is having a large impact on many US stocks but European equities have not enjoyed the same benefits. Is Europe really devoid of AI plays?
Near the half-year mark, it is safe to say 2023 has been different than 2022 for equity investors. After being brought down in bear market territory by Europe’s energy crisis and sudden global shift to hawkish monetary…
The final Q1 GDP release shows the Euro Area economy contracted by 0.1% q/q last quarter, a downwards revision from estimates of a 0.1% expansion. To the extent that this follows a 0.1% q/q decline in Q4 2022, the revised numbers…
Slowing manufacturing PMI indices globally indicate the slowdown in economic activity will persist. Manufacturing demand for commodities will also soften, weighing on industrial commodity prices. Geopolitical tensions and the race to…
Eurozone households are becoming less concerned about the near-term outlook for inflation. The results of the latest ECB Consumer Expectations survey show a significant drop in median 12-month inflation expectations from 5.0% in…