Euro zone defies Greek crisis
05 July 2015
Posted in
sentix Economic News
Despite the increasing confusion surrounding the fate of Greece the composite index for the euro zone rises in July. While investors’ 6-month expectations remain about stable, their assessments of the current situation improve significantly. This constellation signals that market participants already behave as if the euro area was in a boom! In addition, the strong rise of the US index stands out. At the same time, though, the picture for the emerging-markets regions gets ever cloudier which, all in all, points to a world economy losing further steam.
Headlines of the month
- In July, the euro-zone composite index rises by 1.4 to +18.5 points. Despite the crisis surrounding Greece investors perceive the euro-area economy as stronger than last month, and now actually behave as if the euro zone was in a boom!
- Also of note is the jump of the US index, hitting +24.4 after +20.8 points. The US thus leave their spring fever behind, making a rate hike by the Fed in the next months highly likely.
- Once more, the weak spot is the emerging-markets regions. Especially for Asia ex Japan investors’ perceptions concerning the economy are becoming gloomier. As a result, the composite index for the “Global Aggregate” again decreases slightly.
