Article Abstract:
Paribas Capital Markets sees increasing risks of a European recession which will mean very low rates of interest. Gross domestic product (GDP) figures for Germany show flat growth, while industrial production and domestic consumption have dropped in France. Slower growth is due to a number of reasons such as tighter fiscal policy, currency instability leading to tight money, and slower growth world wide which has limited exports. European inflation is subdued, and central banks should reduce interest rates.
User Contributions:
Comment about this article or add new information about this topic:
Article Abstract:
Currency instability makes it difficult for UK investors to select stock in mainland Europe. A fall in the value of pound sterling has meant that many European shares have increased in value with an average rise of some 10% in 1st half 1995. Bank shares are popular for 2nd half 1995, since they are perceived as underperforming in 1st half 1995. Consumer related sectors may not perform well in 2nd half 1995, though they could perform better later.
User Contributions:
Comment about this article or add new information about this topic:
Article Abstract:
The performance of European economies and the European currency, the euro, are examined in relation to the US economic slowdown.
User Contributions:
Comment about this article or add new information about this topic: