Investors should not chase the rally in European defense names any further. Too much good news has been priced in too quickly.
This week, our three screeners cover equity plays in US OAS Spreads, US Exceptionalism, and “DIVE”.
The Trump slump is nearing a temporary reprieve, with a playable countertrend rally in stocks and a tactical rebound in the dollar. Go tactically long USD/SEK. For long-term investors though, the AI bubble still has a lot of air to…
After entering 2025 with depressed growth expectations, measures of European sentiment have seemingly bottomed, and European assets rallied. However, given the changing geopolitical order and Europe’s forceful response thus far, are…
There is an alternative to investing in US stocks: Do it via Europe (DIVE). Allocate to European sectors or stocks that are highly and positively correlated with the Magnificent 7 but do not suffer stretched valuations.
Our Chart Of The Week comes from Robert Timper, strategist in our Global Fixed Income strategy team. Robert digs into Eurozone employment dynamics. January data showed that unemployment remains at record lows, but regional…
This week, our three screeners cover equity plays in US defensives, US Tech, and European Small Cap Value.
The US economy is set to enter a recession within the next few months. Stay underweight equities and overweight cash. Look to increase fixed-income duration exposure over the coming months. The euro is likely to strengthen and…
The ECB cut 25 bps as expected, bringing the deposit facility rate to 2.5%. President Lagarde reiterated the disinflationary process is “well on track” and described the policy stance as “meaningfully less restrictive”, signalling…
The ECB cut rates as expected, but rising yields and a stronger euro are tightening financial conditions just as fiscal policy shifts the macro landscape. With more rate cuts ahead and market positioning stretched, we outline the key…