What I Learned This Week

Will the break-out in E.U. large-cap stocks continue?

This is likely if the recent uptick in the euro proves durable and the Fed continues on the path of monetary expansion. Meanwhile, the intensifying criticism of the ECB’s latest rate cut and QE program has made it unlikely that E.U. interest rates will be lowered any further, implying that interest-rate differentials across the Atlantic will no longer attract capital flows to the dollar. Furthermore, the wide-scale protests that have sprung-up around the world in recent weeks are a harbinger for tight-fisted governments if they do not initiate growth-oriented fiscal policies. Will policymakers take advantage of this opportunity to get ahead of the curve by taking advantage of their fiscal o…

Want to read more?

Subscribe Today

Already a subscriber? Login here.