The ZEW survey of investor sentiment sent an upbeat signal about economic conditions in both Germany and the Eurozone in January. Most notably, the expectations subindices for both regions rebounded sharply to positive territory…
BCA Research’s European Investment Strategy service concludes that the biggest threat hanging over European markets is the increasingly hawkish tone displayed by the ECB. The ECB is very worried about inflation,…
In response to lower energy prices and China’s reopening, European assets prices are outperforming. Will the ECB spoil the party?
German and UK GDP releases provided a better-than-anticipated assessment of recent economic conditions in Europe. In Germany, GDP growth slowed from 2.6% in 2021 to 1.9% in 2022, beating estimates of 1.8%. In particular, the 4…
While the housing downturn will be fairly mild in the US, it will be more severe abroad. Continue to favor bonds of countries whose housing fundamentals will limit rate hikes.
The crucial question for 2023 is: will the US and UK Beveridge Curves shift back inwards to their pre-pandemic versions, ushering in a soft landing? Or, will we slide down the new post-pandemic Beveridge Curves into recession? Plus:…
BCA Research’s European Investment Strategy service’s Combined Mechanical Valuation Indicator (CMVI) framework favors European defensive sectors that are cheap within the defensive equity universe. The CMVI…
Various measures have recently been pointing to an improvement in Euro Area sentiment. The Sentix overall index of investor confidence rose for the third consecutive month in January, climbing 3.5 points to -17.5 – its…
Inflation figures for individual Eurozone economies released this week suggest that price pressures have peaked on the Old Continent. Notably, the preliminary estimate of Germany’s harmonized index of consumer prices (…
The European Commission risks retarding the development of long-term contracting for renewable energy just as momentum is building. Policy uncertainty will continue to dog firms and households in the EU, if the Commission's attempts…