Sorry, you need to enable JavaScript to visit this website.
Skip to main content
Skip to main content

Euro Area

Hawkish ECB: How Much Longer?
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 that further rate hikes are likely in…
Daily Insights
Weak Sentiment Underscores Languishing Eurozone Economy
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 the pessimists continue to outnumber…
Daily Insights
AI Spending Will Benefit Dutch Tech
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 its voracious appetite for computing…
Daily Insights
AI and Europe

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?

European Investment Strategy by Mathieu Savary
Eurozone Succumbs To A Technical Recession
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 indicate that the Euro Area…
Daily Insights
Manufacturing PMIs, The Real Economy, And Commodities

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 the green energy transition will upend enmeshed global supply chains, which will also impact manufacturing activity. It is possible that stimulus in China will arrest the decline in the state’s manufacturing activity, which will have positive spillover effects to its key trading partners.   

Commodity & Energy Strategy
Lower Eurozone Inflation Expectations Foreshadow Slower Wage Growth
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 March to 4.1% in April – the…
Daily Insights
Falling German Factory Orders: Bad News For Eurozone Stocks
Tuesday’s German factory orders release sent a disappointing signal about industrial demand. Although the pace of decline eased from -10.9% m/m to -0.4% m/m in April, it fell below expectations of a 2.8% m/m increase. Both capital and consumer goods orders…
Daily Insights
The Euro Is Here To Stay
According to BCA Research’s European Investment Strategy service, although the ECB faces important challenges in the coming year, its success in maintaining price stability and in preserving the euro’s integrity are bullish for the euro because it makes…
Daily Insights
Happy 25th Birthday, ECB

It is easy to claim that the ECB is failing in light of today’s elevated inflation readings. Yet, the reality is more subtle and the ECB’s performance lays the ground for stronger growth ahead.

European Investment Strategy, Geopolitical Strategy, Global Fixed Income Strategy, Foreign Exchange Strategy

Related Topics

Denmark Iceland Norway Sweden Switzerland UK See more Topics