Vanguard FTSE Europe ETF
German GDP, China Data, Yield Curve Inversion Spook Markets
German GDP fell in the second quarter, igniting recession fears. Chinese economic data released earlier today also stoked fears of a slowdown.
Tech & Comm Services
Semiconductor ETFs Fall on Trump’s New Tariff Tweet
President Trump is back with another threat of tariffs on Chinese imports just a month after the US and China agreed to resume trade talks.
After Mario Draghi, It Could be Jerome Powell’s Turn to Go Dovish
Draghi’s decision to take a dovish approach comes a day before the Fed’s policy decision. Fed Chair Jerome Powell is also expected to take a dovish stance, but a rate cut this month looks quite improbable.
Europe Could Be a Casualty of Trump’s Steel Tariffs
Donald Trump’s 25% tariff on US steel imports last year were meant to protect the domestic steel industry, which had for long been calling for a level playing field.
Europe’s Woes Are Far from Over as MT Cuts Production Again
Today, global steel leader ArcelorMittal (MT) announced that it would be temporarily cutting production in Europe, marking the company’s second production curtailment this month.
Europe Looks to Be a Worry as China Shows Signs of Bottoming Out
The Eurozone manufacturing purchasing managers’ index, which was released earlier today, painted a grim picture of the region’s economy.
Why Europe Never Fully Recovered from the 2008 Financial Crisis
While the rest of the world recovered from the 2007–2008 financial crisis, Europe (VGK)(EZU) has been engulfed in one crisis after another.
Mario Draghi: Is another ‘Whatever It Takes’ Moment at Hand?
Today, we got another round of dismal data points from Europe (VGK)(EZU). According to a Markit survey, Germany’s (EWG) March PMI Composite Output Index fell to a 69-month low of 51.5.
Can Central Banks Fend Off the Next Recession?
The interest rates are much lower compared to the levels in 2007 before the global recession. The federal funds rate is less than half the level in 2007.
Trade War: Trump Picks New Targets as China Talks Wrap Up
Recent statements from the Trump administration suggest that the United States and China might resolve their trade disputes.
Trade War: After China, Trump Could Focus on Europe
If President Trump imposes automotive tariffs, it could ignite a trade war with the European Union.
Is Europe Becoming a Continent in Perennial Crisis?
Yesterday, the British Parliament rejected Prime Minister Theresa May’s Brexit deal by a massive margin. What happens now?
Do Analysts See Recovery on the Horizon for ArcelorMittal Stock?
ArcelorMittal, the world’s largest steel producer, is having a somber 2018. It’s fallen 10.9% year-to-date based on its September 5 closing price.
What to Know as Turkey’s Currency Crisis Rattles World Markets
A currency crisis is currently rattling the world markets. Today, the Turkish lira (TUR) has plunged 20% against the US dollar.
Germany ZEW Economic Sentiment Has Been Worsening Gradually
The iShares MSCI Germany ETF (EWG), which tracks the performance of the German economy, fell 5.2% in June.
Is Consumer Confidence Weakening in the Eurozone?
The Vanguard FTSE Europe ETF (VGK) and the iShares Europe ETF (IEV) rose 2.8% and 3%, respectively, in the month through July 24.
Eurozone Inflation Rose to a 16-Month High in June
Core inflation stood at 0.9% in June compared to 1.1% in May.
Is the Eurozone’s Economic Stress Level Increasing?
In this series, we’ll examine the Eurozone’s economic condition and its accompanying indexes.
Economic Indicators Investors Should Watch This Week
If major Eurozone economic indicators improve in the coming months, we could expect those economies to regain some strength.
What the Spain Services PMI Says about the Economy
According to a report by Markit Economics, the final Spain Services PMI showed a weaker improvement in June than in May.
Deal or No Deal: Brexit Uncertainty Is Good for Gold
After almost two years, the uncertainty related to Brexit could again come in as a support for gold and other precious metals.
Why Germany’s Manufacturing PMI Has Been Gradually Falling
According to a report by Markit Economics, Germany’s final manufacturing PMI has been weakening gradually since December 2017.
Why Gold Gold Stayed Resilient in May
Gold remained resilient in May, as the U.S. dollar strengthened considerably. The U.S. Dollar Index (DXY)1 gained 2.4% and closed the month at its highs for the year.
David Rosenberg: Trade War Could Hurt Corporate Profit
Famous economist David Rosenberg said in an interview with CNBC on June 26 that rising trade tension could affect US businesses (SPY).
Economic Indicators Investors Should Watch Next Week
Let’s take a look at the major developed market economic indicators investors should keep an eye on next week.
Trump Warned Europe with 20% Tariff on Cars: Danger Ahead?
After significant trade war tensions between the United States (SPY) and China (FXI)(YINN) in recent months, investors’ focus has now shifted toward the US–EU trade relationship.
Why Did the Euro Appreciate against the US Dollar?
European equity markets didn’t have the same enthusiasm as the euro, as new tariff threats to the European car industry from the Trump administration unnerved investors.
What’s the Link between Italian Policy and the Euro?
The euro-dollar (FXE) exchange rate managed to move back above 1.16 against the US dollar (UUP).
Geopolitical Factors Are Affecting Germany’s Economic Sentiment
The Germany ZEW Economic Sentiment Index has remained flat so far in May 2018.
How Did Eurozone Consumer Confidence Trend in May?
According to a report from the European Commission, the Eurozone Consumer Confidence Index stood at 0.2 so far in May as compared to 0.4 in April 2018.
Why Italian Election Uncertainty Drove EUR-USD Lower
Last week, the euro-dollar (FXE) exchange rate moved below 1.16 for the first time in six months.
Eurozone Investor Confidence Still Weak: What’s the Impact?
The Eurozone Sentix Investor Confidence Index is 19.2 in May compared to 19.6 in April, missing the market estimate of 21.2.
Gradual Fall in Spain Services PMI Weakening Investor Sentiment
The final Spain Services PMI showed a weaker rise in April than in March. It was 55.6 in April compared to 56.2 in March.
What the France Services PMI Signals for the Economy
The final Markit France Services PMI improved marginally in April to 57.4 compared to 56.9 in March.
Why Disappointing Data Has Had Limited Impact on the Euro
The euro-dollar (FXE) exchange rate closed at 1.2 on May 11, with the euro depreciating by 0.13% against the US dollar (UUP).
Why Spain’s Manufacturing PMI Has Been Falling Gradually
Spain’s manufacturing PMI has been falling gradually since February. It stood at 54.4 in April compared to 54.8 in March.
Why the Euro’s Gap with the US Dollar Is Widening
The euro-US dollar (FXE) exchange rate closed at 1.19 on May 7, with the euro depreciating 1.4% against the dollar (UUP) in May following a 2.0% decline in April.
Euro Depreciated despite Hawkish European Central Bank Statement
The euro-dollar (FXE) exchange rate closed the week ending April 27 at 1.2131, depreciating 1.28% against the US dollar (UUP).
Germany’s ZEW Economic Sentiment Index Fell Sharply in April
The drastic fall in the economic sentiment index in April was mainly due to rising uncertainty about international trade and the US’s missile attack on Syria.
A Look at the Eurozone Consumer Confidence Index in April
According to a report from the European Commission, the Eurozone Consumer Confidence Index stood at 0.4 so far in April as compared to 0.1 in March 2018.
Eurozone Inflation Improved: Why Did ECB Remain Dovish?
On a year-over-year basis, the Eurozone Inflation (VGK) (IEV) Index stood at 1.3% in March as compared to 1.1% in February 2018.
Why the European Central Bank Is Optimistic about Growth
At its April 26 meeting, the ECB’s (European Central Bank) governing council sounded optimistic about the European Union’s growth momentum.
Is the European Central Bank Preparing for Policy Normalization?
At its April policy meeting yesterday, the European Central Bank left policy measures unchanged.
Central Banks Could Drive the Euro-US Dollar Rate This Week
The euro-dollar (FXE) exchange rate closed the week ending April 20 at 1.23. The exchange rate depreciated 0.35% against the US dollar (UUP).
How the European Central Bank Shortened the Euro’s Rally
The euro-US dollar (FXE) exchange rate closed the week ended April 13 at 1.2, with the euro appreciating 0.39% against the dollar (UUP).
Why Spain’s Service PMI Weakened in March 2018
According to Markit Economics, the final Spain services PMI showed a weaker rise in March as compared to February 2018.
Is France’s Falling Services PMI Affecting Investor Sentiment?
According to data provided by Markit Economics, the final Markit France services PMI (purchasing managers’ index) weakened again in March 2018.
A Look at Spain’s Manufacturing Purchasing Managers’ Index
According to a report by Markit Economics, Spain’s manufacturing PMI stood at 54.8 in March as compared to 56 in February 2018.
What’s Affecting Germany’s Manufacturing Activity?
According to a report by Markit Economics, Germany’s final manufacturing PMI (purchasing managers’ index) stood at 58.2 in March as compared to 60.6 in February 2018.
Why Synchronous Growth Is Driving Global Demand
Economic/business cycles are never exactly the same, and the current cycle is no exception. But we are most likely entering the late stages of this expansion.