Beyond Bulls & Bears

Notes From the Trading Desk – Europe
Equity

Notes From the Trading Desk – Europe

A growing sense of optimism around US/China trade talks and an ongoing dovish narrative from central banks helped equity markets generally achieve a positive performance last week.

Notes From the Trading Desk – Europe
Equity

Notes From the Trading Desk – Europe

Equity markets continued their recovery last week as optimism around US/China trade talks and a continued dovish narrative from the US Federal Reserve eased investor nerves. In Europe, macro data continues to be lacklustre and the noise around Brexit is back to fever pitch. But European indices still benefitted from the more positive global perspective.

Notes From the Trading Desk – Europe
Equity

Notes From the Trading Desk – Europe

Positive catalysts helped European equities edge higher throughout last week. These included the hopes of an easing in global trade-war tensions and political progress in Italy. Nevertheless, concerns over Brexit and some disappointing data from Europe and China continue to cast a dark shadow.

Notes From the Trading Desk – Europe
Equity

Notes From the Trading Desk – Europe

The last few of days in October brought some welcome respite for equity markets thanks to month-end positioning, robust corporate earnings and better tone around US/China trade. Markets were in positive territory last week across the board.

Notes from the Trading Desk – Europe
Equity

Notes from the Trading Desk – Europe

“If the United Kingdom fails to reach a deal or pass it through Parliament, the prospect of a fresh general election is a very real likelihood, in our view, bringing with it much uncertainty.” Franklin Templeton European Trading Desk team

Notes from the Trading Desk – Europe
Equity

Notes from the Trading Desk – Europe

“It seems likely the Five Star Movement will have a major part to play in Italian policy going forward. Coalition governments are commonplace in Italy and a single party has not won an outright majority since the Second World War.”- Franklin Templeton European Trading Desk team, March 5, 2018.

Notes From the Trading Desk – Europe
Equity

Notes From the Trading Desk – Europe

We’ve seen some dramatic headlines in the wake of last Friday's US equity selloff, but it’s important to remember that equities have had an incredible run over the past year. In relative terms, we consider this pullback to be reasonably small. - Franklin Templeton European Trading Desk Team

Notes from the Trading Desk – Europe
Equity

Notes from the Trading Desk – Europe

"Last week was quiet until sleepy summer markets were woken by a war of words between North Korea and the United States, with both sides threatening military action. On the back of this we saw a de-risking across asset classes, and global equity markets declined across the board." - Franklin Templeton European Trading Desk team

Notes From the Trading Desk – Europe
Equity

Notes From the Trading Desk – Europe

"Central bank commentary has been driving headlines throughout the second quarter, from our perspective, and last week was no exception as several monetary policymakers in different jurisdictions gave a hawkish tilt to speeches, fuelling speculation that the period of ultra-accommodative monetary policy could be approaching an end.” - Franklin Templeton European Trading Desk team.

Notes From the Trading Desk – Europe
Perspectives

Notes From the Trading Desk – Europe

Given the improving macroeconomic data we have seen from the eurozone of late, there was a good deal of scrutiny on ECB President Mario Draghi’s press conference to see if he would step back from his dovish stance. Draghi appeared keen to be careful not to unsettle markets with excessively hawkish rhetoric.

Notes from the Trading Desk – US Election Special
Perspectives

Notes from the Trading Desk – US Election Special

For Asian markets trading Wednesday morning, we felt it was almost a replay of the Brexit tape—initial complacency made a hard turn into the realisation that an upset was imminent.

Notes from the Trading Desk – Europe: Brexit Special
Perspectives

Notes from the Trading Desk – Europe: Brexit Special

It is anticipated that the UK will likely see a hit to growth in the short- and medium-term, with an increased risk of a technical recession, not helped by the profound uncertainty as to the prospects of this political contagion.