Weekly Newsletter

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Global Markets have little changed since our last report two weeks ago. We do not expect this to change over summer time and will reduce our newsletter frequency to twice a months until we see a wake up or even shake up.

However what we do not change is our effort to continuously look for the best investment opportunities for our clients and arrange products accordingly. So if you want to see more products just let us know. We will add you to our list for weekly updates.

So what were the most exciting news this time? The ECB has defeated inflation. It accelerated its 1.1 trillion-euro ($1.2 trillion) bond-buying program in May. And finally Ecostat reports a positive consumer price index again. Unfortunately this causes for investors in European bonds a loss for the first time in 2015 according to the Bloomberg Eurozone Sovereign Bond index. German government bonds held onto their biggest drop since 2012 Wednesday before European Central Bank. See also our chart of the day!

Do we get inflation now? We don’t think so. Though it looks impressive how consumer prices turned around right after ECB buying bonds. We think it takes a lot more for inflation, particularly real growth, optimism and wage increases. Though we see growth an optimism for INNOVATIS Erwin Lasshofer does not see considerable wages increases in the near future – not for Europe and unfortunately for INNOVATIS neither. So we think without major structural reforms there will be no growth and no significant rates hikes in Europe.