FEU News and Press, SPDR DJ STOXX 50 Etf From 08/27/19

At the next European Central Bank ((ECB)) policy meeting in September, it is expected to gently lower interest rates to ease the burden on a stagnant eurozone economy. However, previous long-term Quantitative Easing ((QE)) measures, along with a prolonged period of historically low interest...

Looming recession and negative yields, it was about time some people would bring two and two together. Much of European yields are in negative territory, meaning that European governments can get paid to borrow. At the same time, much of Europe is teetering on the brink of recession, so here...

By Thorsten Polleit Those who had hoped that things could not get worse with the monetary policy of the European Central Bank ((ECB)) have been proven wrong. At its last meeting on 25 July 2019, the Governing Council of the ECB kept interest rates unchanged: the main refinancing rate was k...

As we discussed in last week's blog "Race to the Bottom", traditional means of stimulating economic growth are no longer working and are, in fact, backfiring from their real intent. Governments need to move away from reliance on any additional monetary stimulus, which clearly is not working, a...

Market volatility came back this week in a big way. On today's episode of Market Week in Review, Head of AIS Business Solutions Sophie Antal Gilbert and Senior Investment Strategist Paul Eitelman dig in on trade, global bond markets and eurozone economic data. The trade war story is st...

What is nothing? What comes to mind when you imagine nothing? The moment we try to imagine what nothing is, we fail, because nothing cannot be envisioned. There is nothing to envision or ponder or even think about. Nothing is no thing . Yes, the point above is tedious, but the value of noth...

Scanning the global markets for value always makes me stop in Europe. Using the S&P 500 ([[SPY]]) as our reference, we get a P/E ratio of 20.84, a P/BV of 3.27, and a distribution yield of 1.56%. Table 1 - Portfolio characteristics of the S&P 500 ETF (Source: iShares ) Now, lo...

By Jeff Weniger The euro won't stop chopping sideways. Its quiet drift downward has persisted since spring 2018, but it would be a fool's errand to extrapolate boring action forever. The currency can snap violently, and I think the push will be southward. Figure 1: EURUSD There were ...

I am getting prepared, you see. September is just around the corner and it will be the last European Central Bank meeting presided over by Mario Draghi, the Superman of Europe. My sense is that it is going to be one last, "Whatever it takes," as virtually all of the economies of Europe are hav...

The European Economies It's not really valid to talk of a European economy, that being exactly the problem there is with the euro. Having the one currency means that monetary conditions must be the same across those different European economies. An example of this is that the UK economy seem...