(Weekly Pandemic) Market commentary - rating agencies show their teeth

More countries discussing and implementing lockdown exit strategy: slow and cautious. Smart regulatory and monetary policy coordination in Europe aim at supporting lending.

Highlights:

  • More countries discussing and implementing lockdown exit strategy: slow and cautious.
  • Smart regulatory and monetary policy coordination in Europe aim at supporting lending.
  • Fitch has cut Italy’s rating to BBB-. To raise to the sovereign rating challenge, EU governments need to better work and act together.
  • Green financial shoots already? Despite dire economic and earnings news, cyclical stocks have outperformed this week. A swallow does not make a spring, but medical advances may have cheered investors up.
  • Stick to long positions in safe credit and duration.

Download the full publication below

MARKET COMMENTARY - RATING AGENCIES SHOW THEIR TEETH

RELATED INSIGHTS

Market Compass June 2020
Edited by the Macro & Market Research Team. The team of 13 analysts based in Paris, Cologne, Trieste, Milan and Prague runs qualitative and quantitative analysis on macroeconomic and financial issues.
The team translates macro and quant views into investment ideas that feed into the investment process.
Marktkompass April 2020
Herausgegeben vom Macro & Market Research Team. Ein Team von 13 Analysten mit Sitz in Paris, Köln, Triest, Mailand und Prag analysiert qualitativ und quantitativ makroökonomische und finanzielle Fragen.
Das Team überträgt makroökonomische und quantitative Ausblicke in Anlageideen, die in den Anlageprozess einfließen.
Market Compass March 2019
Edited by the Macro & Market Research Team. The team of 13 analysts based in Paris, Cologne, Trieste, Milan and Prague runs qualitative and quantitative analysis on macroeconomic and financial issues.
The team translates macro and quant views into investment ideas that feed into the investment process.