According to BCA Research’s European Investment Strategy service, the green light to buy and overweight European banks and financials will come once the ECB relents on its hiking campaign. The positive long-term outlook…
Long-term drivers, including the growing ability of banks to returns cash to shareholders, point toward a strong structural performance for European financials. However, the ECB’s aggressive tightening campaign could still spoil the…
The four-month-long outperformance of Eurozone equities relative to US stocks has recently stalled. Multiple factors explain this dynamic. A strengthening US dollar reduces foreign gains when expressed in US dollars. Thus,…
According to BCA Research’s Global Fixed Income Strategy service, European investment grade corporates are the most attractive among corporate bond markets in the US and Europe. Last year’s rise in US and European…
Data released on Monday shows Swiss inflation reaccelerated and came in above consensus estimates in January. Headline CPI inflation rose from 2.8% y/y to 3.3% y/y, exceeding expectations of 3.1% y/y. Notably core CPI…
Our Central Bank Monitors support the recent shift in tone from central bankers in Europe. Find out what it means for European fixed-income portfolio allocation.
Chinese money and credit data were stronger than expected in January. The RMB 5.98 trillion surge in total social financing is significantly above December’s RMB 1.31 trillion increase and beat expectations of a RMB 5.40…
The German DAX has rallied by 26.4% since the beginning of Q4 2022, outperforming the Euro Stoxx 50 by 5.7% in the process. With industrial equities accounting for a relatively large share of the German index, the bourse is…
Ironically, increased confidence that the economy can withstand higher bond yields may be necessary to lift yields to a level that is actually detrimental to growth. Thus, until more investors are convinced that a recession will be…
As expected, Sweden’s Riksbank delivered a 50 bp rate hike at its meeting on Thursday, bringing the policy rate to 3.0%. and signaled that further hikes are likely. Moreover, it announced that beginning in April it will…