The eurozone is starting to motor. The Economic Sentiment Indicator (ESI), an index that tracks both business and consumer confidence in each country, jumped to 111.1 in June, the highest level since August 2007. Households finally seem to be gaining the urge to splurge, with the sub-index gauging consumer confidence at a 16-year peak. On past form, the ESI now implies a jump in eurozone annual GDP growth from 1.9% between January and March to 2.5%, according to Capital Economics, although the ESI has overstated growth in the past few quarters.
Viewpoint
"One of the things that seems strangely absent from most analysis of the oil price right now sinking fast under the weight of a glut in supply is any appreciation of the region's omnipresent geopolitical risks Trump in the White House means that [the new Saudi crown prince Mohammed bin Salman] will encounter minimum opposition from Washington and a far freer hand in pursuing his ambitions in the region. Arms deals to help him pursue them follow naturally. The dangers are obvious a newly empowered young prince unafraid, as we have seen in Yemen and now Qatar, to pursue regional conflict, emboldened by a world superpower."
Jeremy Warner, The Sunday Telegraph
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
-
FTSE 100 hits record highs – why is it rising and will we see more gains?Advice UK equities have been described as unloved for a long time but as the FTSE 100 hits new highs, we explain if now is the time to buy British.
-
How to invest in copperIt may be time to invest in copper as the red metal appears poised for a big jump. Dominic Frisby looks at what should investors should buy
-
The charts that matter: bond yields and US dollar continue to climbCharts The US dollar and government bond yields around the world continued to climb. Here’s what happened to the charts that matter most to the global economy.
-
The charts that matter: markets start the year with a crashCharts As markets start 2022 with a big selloff, here’s what happened to the charts that matter most to the global economy.
-
The charts that matter: Fed becomes more hawkishCharts Gold rose meanwhile the US dollar fell after a key Fed meeting. Here’s what else happened to the charts that matter most to the global economy.
-
The charts that matter: a tough week for bitcoinCharts Cryptocurrency bitcoin slid by some 20% this week. Here’s what else happened to the charts that matter most to the global economy.
-
The charts that matter: omicron rattles marketsCharts Markets were rattled by the emergence of a new strain of Covid-19. Here’s how it has affected the charts that matter most to the global economy.
-
The charts that matter: the US dollar keeps on strengtheningCharts The US dollar saw further rises this week as gold and cryptocurrencies sold off. Here’s how that has affected the charts that matter most to the global economy.
-
The charts that matter: gold hangs on to gains while the dollar continues higherCharts The gold price continued to hang on to last week’s gains, even as the US dollar powered higher this week. Here’s how that has affected the charts that matter most to the global economy.
-
The charts that matter: inflation fears give gold a much needed boostCharts US inflation hit its highest in 30 years this week, driving gold and bitcoin to new highs. Here’s how that has affected the charts that matter most to the global economy.
