Political risks and rising interest rates – Climate gets colder for stocks
When were global equity investors ever interested in Dutch elections? But next Wednesday’s vote will influence not only the future parliament in The Hague, but also the future of Europe and in particular, the euro. So, financial markets are looking much more closely this time, especially with the France elections looming, where Marine Le Pen, head of the far-right National Front, is ahead in the polls for the first round.
But Investors are worrying about another topic. Also on Wednesday, the US Federal Reserve will probably raise interest rates again. The Werthstein Institute assesses these and other influences on the financial markets, in the new Werthstein index video.
The Werthstein Index is a lively representation of the Werthstein Institute’s market opinion. It expresses the individual voting members’ expectations for the development of global stock markets over a time horizon of up to three months, as the average of their votes on a scale from 1 (extremely negative) to 10 (extremely positive).