Mobin Tahir (Wisdom Tree) | The S&P China 500 Index is up 17.7% and the CSI 300 Index is up 16.8% year-to-date.Breakneck gains in stock markets create excitement, but also raise fears of bubbles. There are good reasons for the strong ongoing rally in Chinese equities, and – although risks lurk on the horizon – we aren’t in bubble territory.
Ana Fuentes | Funds´ volume of cash has reduced considerably in February and Europe is the region that has most benefited from asset allocation. A report by BofA Securities indicates that just in February $11.8bn has entered European equity markets. “All the ideas are put in the price”, explains Oscar Anaya, head of institutional sales at Tradition Securities and Futures Spain, “In one sense it is normal, but we are rather left in no man´s territory”.
Union Bancaire Privée (UBP) | Most analysts and economists believe global growth will remain solid, despite political and geopolitical uncertainties, in the second half of 2017. Economics and corporate earnings will be the main drivers for the markets.
Fernando Rodriguez | Francisco García-Paramés is an asset manager who has made ‘Value Investing’ popular in Spain thanks to the good results obtained during the last 20 years. He is Spain’s Warren Buffet.
MADRID | They’ve been scaring us with an eventual China crash which would drag the world’s economy. And yet Daily Telegraph’s Roger Bootle insists there is no reason to panic here. The ratio of tradeable equities to GDP is running at just under 30%, while in most countries it exceeds 100%. See the New York Stock Exchange on the graph.
LONDON | July 14, 2015 | UBS | The “Wall of Worry” for the European Equity Bull market has shifted somewhat from Greece to China.
LONDON | July 8, 2015 | Barclays | Shanghai, Shenzhen, and Hong Kong-listed H-Share indices all fell 3-4%, although the declines likely understate the weakness in sentiment given that trading has been halted in shares comprising c.40% of market capitalisation.
The Corner | June 8, 2015 | After all, equities are supported by the cycle and the upturn in business results. On the other hand, bond markets are negatively affected by the improvement of the economic outlook and a scenario where deflation is not considered anymore.
May 6, 2015 | UBS | April European cash equity volumes remained flat but were +27% ahead of the same month last year. In the US, combined average daily NYSE and NASDAQ value traded was down -4% m/m and -6% y/y.
MADRID | By Julia Pastor | The designs of the markets are unfathomable. Mario Draghi might forget the QE idea and the British housing sector might collapse. These are some of the Saxo Bank’s ludicrous forecasts for 2015. A year ago they claimed there would be a default in the Russian debt and the collapse of the oil price, and they were right. Nonetheless, most of the experts that talked to The Corner agree on a scenario for 2015 led by the ECB’s quantitative easing, the oil price reduction and low interest rates.