As expected, the Bank of England raised the Bank Rate by 50bps to 2.25% on Thursday. Three of the nine MPC members preferred a more aggressive 75bp hike, while one member favored a more modest 25bp increase. The BoE noted that…
Sweden’s Riksbank hiked its policy rate by a full percentage point to 1.75% on Tuesday, a more aggressive move than the 75bp hike anticipated by the consensus. The central bank also revised up its policy rate forecast. It…
BCA Research’s European Investment Strategy service’s Rotation Maps framework suggests that the Euro Area energy sector stands out as a good underweight candidate in equity portfolios over the next twelve months,…
Cable fell below 1.14 in intra-day trading on Friday (incidentally, the 30th anniversary of Black Wednesday). Though it recovered some of the losses, it ended the week at a 37-year low. New evidence that the UK economy is…
Executive Summary The US inflation surprise increases the odds of both congressional gridlock and recession, which increases uncertainty over US leadership past 2024 and reduces the US’s ability to lower tensions with China and…
Listen to a short summary of this report Executive Summary GIS Projection For The EUR/USD We went long the euro early last week, as EUR/USD hit our buy limit price of $0.99. Despite a near cut-off of…
Executive Summary At the margin, the European Union’s proposed €140 billion “windfall profits” tax on electricity providers not using natural gas to generate power will blunt the message markets are sending to…
Eurozone industrial production contracted by a larger-than-expected 2.3% m/m in July following a 1.1% increase in June. Capital goods and durable consumer goods led the July decline. Going forward, the outlook for the European…
The ZEW survey of investor sentiment sent a cautionary signal on Tuesday. German investor sentiment slumped in September to the lowest level in 14 years. The current situation and expectations indices dropped by 6.6 and 12.9…
UK GDP grew by 0.2% m/m in July, up from June’s 0.6% m/m decline. A 0.4% m/m increase in services was the main contributor, though production and construction fell 0.3% and 0.8% m/m, respectively. However, July’s GDP…