Recent Eurozone economic data indicate that restrictive monetary policy and the global manufacturing downturn are weighing down on the region’s economy. In particular, new orders at German factories plunged by 11.7% m/m…
The geopolitical backdrop remains negative despite some marginally less negative news. China’s stimulus is not yet large or fast enough to prevent a market riot. Two of our preferred equity regions, ASEAN and Europe, are struggling…
The final PMIs for August delivered a pessimistic update on service sector conditions in the Euro Area and China. The Eurozone services index was unexpectedly revised down from 48.3 to 47.9 – indicating a more pronounced…
Eurozone headline inflation surprised to the upside in August, confirming the signal from the preliminary German and Spanish releases. The year-on-year gauge was unchanged at 5.3% – surprising expectations of a deceleration…
The stock market’s pre-eminent growth sector is not US technology, it is French luxury goods. On most time horizons over the past decades, French luxuries have trumped US technology on profit growth, price performance and…
Euro Area inflation data surprised to the upside on Wednesday. According to preliminary data, although Germany’s harmonized headline CPI inflation rate fell from 6.5% y/y to 6.4% y/y in August, it nevertheless came in…
The stock market’s pre-eminent growth sector is not US tech, it is French luxuries. No other sector can compare with French luxuries’ massive and sustained pricing power. The risk for French luxuries is not a China slowdown, the risk…
The Eurozone's economy remains soft. Yesterday we highlighted that M3 money supply fell by 0.4% y/y in July, a rate unseen since 2010. This decline was driven by a slowdown in private sector bank lending, which confirms broad…