This is our weekly global indices report. We have analyzed all our indices to give you an indication of which markets are showing the strongest positive or negative momentum to help you get an edge in your trading.
In this report we look at:
- European markets have rallied strongly this week ahead of expectations for “Remain” to win the Brexit vote.
- Spain IBEX 35 is one of our top picks for further outperformance, alongside the Euro Stoxx 50.
- Japan’s Nikkei is our top pick outside of Europe to benefit from a “Remain” win, as the yen should continue to weaken as safe haven demand continues to ebb.
- We rank global indices according to P/E ratio, P/B ratio and dividend yield.
- Rank the momentum of global indices.
Global Indices
European markets have rallied strongly since Friday, with most of them paring back what has been a pretty awful month of losses. A lot of the market rally ahead of a “Remain” vote appears to have happened even before the polls have taken place.
As I mentioned last week, the biggest gains have been seen by the “weak links” in the European community, such as Greece and Spain. If the UK votes to leave the EU, focus would quickly turn to the countries most likely to suffer from the breakup of the European Union, and now that the market is pricing in “Remain” these equity markets are seeing the strongest outperformance.
To read the entire report, please click on the PDF file below: