Developed Countries
The performance of EUR/USD has improved over the past few weeks, gaining 4.4% since it closed at a 20-year low on September 27. This development comes as gas prices continue to recede from the late-August peak. Earlier this year, our European Investment…
The Sentix index of Eurozone investor confidence delivered a positive surprise on Monday. The headline index increased by 7.4 points to -30.9, beating expectations of a smaller improvement to -35.0. The Current Situation and the forward-looking Expectations…
After declining 24.8% over the first nine months of the year, the S&P 500 is up 6.2% since September 30. Notably, these equity gains coincide with a selloff in US Treasuries, with the 10-year Treasury yield now 39bps higher over this period -- on track to…
BCA Research’s European Investment Strategy service concludes that European small-cap stocks have room to rally versus their US counterparts. Despite near-term hurdles, European economic activity could remain strong relative to that of the US on an 18- to…
Europe is hampered by a lower trend growth rate, but has room to grow faster than the US over the next two years. How can investors profit from this outlook?
Financial markets slumped with the tough talk that followed last week’s FOMC meeting, but investors should recognize that the tone of the Fed’s communications is conditioned upon the inflation backdrop. Once it improves, Chair Powell and his colleagues will be able to relax their rhetoric.
The US October employment report was mixed. On the positive side, US Nonfarm payroll employment rose by 261 thousand in October, largely above expectations of 193 thousand. Moreover, the September increase was revised up from 263 thousand to 315 thousand.…
The Canadian economy unexpectedly added a whopping 108 thousand jobs in October – ten times the amount anticipated – and significantly above the 21 thousand increase in September. Job gains in October alone recouped cumulative losses observed from May to…
Global central banks’ uber-hawkish stance is behind the surge in bond yields this year. Policymakers are delivering outsized rate hikes in an attempt to combat decades-high inflation. The Fed delivered its fourth consecutive 75bp rate hike on Wednesday with…
According to BCA Research’s Foreign Exchange Strategy service, long-term investors should begin to sell the dollar on strength. From a pragmatic standpoint, there are five key signposts that have been useful in tracking the dollar uptrend this year.…