EEA News and Press, The European Equity Fund Inc. From 08/27/21

Now that Jackson Hole is over, the focus shifts back onto the economic recovery. The euro area economy is ticking along nicely. Data from the UK this week showed that, despite all restrictions being lifted, the economy continues to face headwinds because of supply and labour short...

Last year, we were looking at distribution changes due to the COVID pandemic sell-off. CEFs distribute out most of their earnings as distributions, so they pay relatively higher yields. However, relatively higher yields mean that any downturn is likely to cause distribution cuts. ...

Global real GDP reached a new high in the second quarter of 2021, completing a year-long recovery from the COVID-19 recession. The resilience of the global economy amid a lingering pandemic suggests that the world is learning to live with the COVID-19 virus. Western Europe's consu...

A softening of sentiment indicators comes as rates already sit close to the bottom of their recent range. Positioning might push them lower still, but EUR rates, in particular, are already consistent with more central bank support next year. The belly of the US curve trades cheap,...

Eurozone business activity continued to grow at one of the strongest rates seen over the past two decades in August, the rate of expansion cooling only slightly despite widespread supply chain delays. The eurozone's economic recovery retained impressive momentum in August, with the fl...

There are two highlights in the last full week of August that will draw the attention of investors: the Federal Reserve's symposium (Jackson Hole) and the preliminary August PMI reports. Two G7 members, Germany and Canada, hold national elections in September. The Fed's Jackson Ho...

The upcoming week is all about the Federal Reserve’s symposium in Jackson Hole, Wyoming. Government regulatory risk continues to dominate China equity markets, this time with President Xi pushing an agenda of wealth redistribution from rich to poor. Global macro weakness ha...

Amid the ravages of COVID-19, European equities were some of the worst performers. Since the start of 2021, the tide seems to have turned. In the six months ending June 30, 2021, the MSCI Europe Index returned 15.4%, edging out the S&P 500 Index return of 15.0%. After years of...

Any disappointment in key US data today is likely to see a larger reaction than a consensus beat. Markets are primed for hints of further deceleration, sentiment already dampened by the spreading delta variant and geopolitics. More concrete hints on the Fed taper will be needed fo...

The volatility of the dollar does present some problems for the world but, for better or worse, it is the world’s reserve currency and I see no real threat to that status on the horizon. I positioned our portfolios for a weak dollar period early last summer and maintained those...