Jan 14, 2021 | European Economy
Aggressive monetary expansion and a slowdown in construction activity have underpinned surging property prices. Both dynamics will keep fuelling the rally In the decade following the global financial crisis, unprecedented low funding costs and the search for yield...
Aug 13, 2020 | US Economy
Inequalities that existed before this crisis have been amplified by it. One place where this is prominent is in markets. Interest-rate sensitive sectors are seeing a marked outperformance due to their heightened sensitivity to liquidity. Technology has also benefited...
Dec 18, 2019 | US Economy, US Equities
The auto and housing sectors are two parts of the economy that are highly sensitive to interest rate changes. In light of the Fed’s dovish pivot at the start of the year, culminating in 3x25bps of interest rate cuts, we would expect activity in both sectors to surge....
Dec 4, 2019 | European Economy, UK
With global trade headwinds intensifying and many governments still reluctant to turn on the spending taps (for now), the burden of growth remains with the consumer. In the eurozone, consumer conditions appear relatively mixed. There is a divergence between soft and...
Nov 23, 2018 | European Economy
We have previously flagged Swedish property as both a precariously overvalued asset and a risk to systemic stability given the high degree of household leverage. The scale and intensity of the Swedish property bubble is reflected in the two charts below. In real terms...
