Is Here the Bottom for European Banks?
European banks are currently trading at depressed valuations. Lowest prices in 15 years and near the levels of their bottom during the March 2020 Coronavirus crisis.
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The end of the liquidity driven rally. What lies ahead?
The end of the liquidity driven rally, what lies ahead? The economic crisis which sparked from the global pandemic created the perfect storm for ‘money printing’ by the Fed. The liquidity response to the crisis was very strong, highlighted by the direct purchases of corporate bonds and stock market ETFs for the first time in Fed’s history. However, the vast majority of the liquidity came through monetization of debt
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2020 vs 1929: Similarities and differences
2020 vs 1929: Similarities and differences
History has shown that every financial crisis is different from previous ones, in aspects of conditions, catalysts and market response. However, the 2020 stock market environment strongly resembles the 1929 market with equities rallying, further widening the gap between fundamentals and the valuations, while the real-economy weakens.
In this post we explore six similarities and three diferences between 1929 and 2020. We leave you to make your own judgement.