EEA News and Press, The European Equity Fund Inc. From 06/16/21

Since the beginning of the year, the ECB has stepped up the pace of its bond buying to around €80 billion per month over the past quarter and said it would continue to buy at an accelerated rate as conditions warrant. Inflation is more of an issue in the United States than in E...

20 out of 23 CEF sectors positive on price and 21 out of 23 sectors positive on NAV last week. GAB rights offering is now live. IGA/IGD/IDE tender results were pleasing, DEX tender coming up. DSE to merge into an open-ended fund soon. Portfolio holdings: distribution boost...

The Fed meeting looms large, and it appears some are taking a step back to reassess the hawkish risks. The belly of the curve offers best carry, but is also more prone to the repricing of Fed hikes. The ECB has already given the green light for carry trades, but has also created b...

Like a lot of parts of the global economy, housing/wood/material each saw a drop in both supply and demand given last year’s recession. Once beyond the commodity-induced price effects, it becomes clear the economy is settling back into the same disinflationary circumstances or ...

Much of last week’s economic focus was on the inflation report. Inflation was indeed pretty hot year over year, but that wasn’t unexpected. With CPI printing at 5% year over year, bond yields fell. But these are small moves, and the trend for rates is still up for now. ...

US rates have snapped lower. It had been brewing. Over a half a trillion was returned to the Fed at 0% yesterday, as excess liquidity seeks a home for the night. The bond market sees this as a run on rates, and not a driver of a macro boom. Meanwhile, the ECB has removed a key ris...

We expect that the impact of the U.S. trifecta will continue to wane, supporting a sustained weak dollar regime and opportunities in overseas markets. There’s no doubt that the U.S. economy is in the midst of a strong recovery. As global vaccination efforts continue and eco...

The ease lower in market rates continues to pose questions about the extent of the inflation risk ahead; but also reflects liquidity seeking a home. As dovish expectations build ahead of the ECB meeting, more issuers have decided to make use of the benign primary market conditions. ...

We expect the European Central Bank to maintain its current pace of asset purchases even though the economic restart is gaining momentum. U.S. nonfarm payrolls growth picked up in May. We caution against extrapolating too much from erratic near-term data amid a powerful restart. U...

Global supply chain woes persist in May. Asia manufacturing performance on the line amid supply constraints. Sustained supply and demand gap could lead to price stickiness. For further details see: Global Manufacturing PMI Highlights Sustained Supply Constraints And Pric...