On October 13, Ireland unveiled its latest Budget, which was historic in more ways than one. Up until very recently, it would have been hard to imagine two ministers from the two biggest political rivals in the history of the State, standing up together to deliver a unified Budget. On top of that, the package delivered of almost €18bn was the biggest in the country’s history, … [Read more...] about A review of Budget 2021
The latest inflation data in the eurozone will not be greeted with joy in Frankfurt, as the annual core eurozone inflation number dropped to 0.2%. This is the lowest level ever recorded for the core eurozone price index and far below the implicit target of the ECB of “below but close to 2%” in the medium term. Considering the rising number of coronavirus infections in Europe … [Read more...] about Low, lower, lowest
Lionel Shriver’s 2016 dystopian novel ‘The Mandibles’ describes the US defaulting on its debts, resulting in the collapse of the once-mighty US dollar and the ushering in of a period of deep secular decline. Comparisons with today are tempting given the pandemic crisis and social and political unrest in America. The US dollar’s recent falls particularly resonate. The near -10% … [Read more...] about Dollar demise or just a blip?
The United Kingdom voted to leave the European Union (EU) more than four years ago, and the process has been long and complicated. While ties to the EU were officially severed in January, the two sides still need to work out their new relationship in many areas before a year-end deadline, including trade, immigration, the Irish border, citizens’ rights and fishing access. In … [Read more...] about Brexit saga meets trade roadblocks
Last year we saw a dramatic increase in concern over climate change, which was reflected in its prominence as an investment issue. Despite all this attention, however, climate change has only had a significant impact on the valuations of select sectors—specifically those facing extremely elevated transition risk, such as fossil fuel producers. We believe valuation dislocations … [Read more...] about Rising climate change risk not yet factored in by markets