Ger30, UK100 and SP500 are CFD’s, written over the Dax30, Footsie100 and S&P500 Index futures:
European markets are trading in slight correction. Last week, Merrill Lynch published a poll in which stood a clear preference for European equities, followed by the Japanese, and there is the conviction that economic conditions in the euro area will improve over 2015. The preferred sector of global investors is the automobile and less appealing the financial sector. US shares are less attractive according to the survey. After a long underperformance, European equities were again the favorite among global investors because of the measures of the ECB, the devaluation of the Euro, the most attractive valuations and the economic outlook less pessimistic than a few months. This combination of factors led to a sharp rise in European markets, which according to some parameters reached extreme levels. Now, some of these factors have been losing some strength in particular the negative momentum of the Euro and the valuations are no longer attractive. Today’s schedule includes the participation of Mario Draghi at the Committee on Economic and Monetary Affairs of the European Parliament at 14:00. At 17.00, Chancellor Angela Merkel will meet the Greek Prime Minister Alexis Tsipras in Berlin.