Investors are growing more cautious on European economy
Investors are becoming more cautious about the European economy, according to a survey released Tuesday, even as the region benefits from a ramp up in vaccinations and the distribution of European Union aid money.
A net 44% of European investors in August expect a stronger economy over the next 12 months — the lowest reading since June 2020, and down from 80% in July, according to Bank of America’s fund manager survey.
The survey also found a net 36% overweight the region, down from 45% in July, and a net 2% underweight UK. equities.
European stocks slipped on Tuesday as banking stocks fell.
Up over 18% on the year, the Stoxx Europe 600 fell 0.2% to 472.75. Decliners included technology investor Prosus
after another tough session for Tencent
in Hong Kong, as well as luxury goods maker Kering
and French bank BNP Paribas
Of the major regional indexes, the German DAX
declined 0.3% and the French CAC 40
declined 0.6%, while the UK. FTSE 100
increased 0.1% thanks to a rally in BHP Group
Read more in London Markets