To gain an edge, this is what you need to know today.

Money Flowing To Europe

Please click here for a chart comparing SPDR S&P 500 ETF Trust (SPY) which represents the benchmark stock market index S&P 500 (SPX), Select STOXX Europe Aerospace & Defense ETF (EUAD), and SPDR Euro Stoxx 50 ETF (FEZ).

Note the following:

  • For the period shown on the chart,  Europe has outperformed the U.S. stock market by 10.39%.  The chart also shows European defense ETF (EUAD) has outperformed SPY by 22.12%.
  • Money continues to flow from the U.S. stock market to European stock markets.
  • We have previously shared with you the unintended consequence of the Trump-Zelenskyy confrontation.  This was a watershed moment unlike anything else since World War II.  From an investment perspective, the confrontation was a trigger for money to start flowing out of the U.S. and into Europe.
  • Increased defense spending in Europe is not a done deal, even though the stock market believes it is, according to the Arora Report analysis.
  • Historically, Europe has had difficulty uniting behind increased defense spending.  Further, it must all start from Germany.  The coalition of Friedrich Merz, Germany’s Chancellor-in-waiting, proposes to increase defense spending and also create a $500B infrastructure fund.  For certain reforms, it takes a two third majority in Bundestag. Support of the Greens may become important.  However, the Greens have concerns due to the lack of climate protection measures in new spending.
  • President Trump is not ruling out the possibility of a recession.  Trump said, “I hate to predict things like that.  There is a period of transition because what we’re doing is very big.”
  • In the early trade, the U.S. stock market is seeing selling due to Trump’s remarks. Our prior call was to buy on Trump’s re-election, take partial profits from Christmas to …

Full story available on Benzinga.com

To gain an edge, this is what you need to know today.

Money Flowing To Europe

Please click here for a chart comparing SPDR S&P 500 ETF Trust (SPY) which represents the benchmark stock market index S&P 500 (SPX), Select STOXX Europe Aerospace & Defense ETF (EUAD), and SPDR Euro Stoxx 50 ETF (FEZ).

Note the following:

  • For the period shown on the chart,  Europe has outperformed the U.S. stock market by 10.39%.  The chart also shows European defense ETF (EUAD) has outperformed SPY by 22.12%.
  • Money continues to flow from the U.S. stock market to European stock markets.
  • We have previously shared with you the unintended consequence of the Trump-Zelenskyy confrontation.  This was a watershed moment unlike anything else since World War II.  From an investment perspective, the confrontation was a trigger for money to start flowing out of the U.S. and into Europe.
  • Increased defense spending in Europe is not a done deal, even though the stock market believes it is, according to the Arora Report analysis.
  • Historically, Europe has had difficulty uniting behind increased defense spending.  Further, it must all start from Germany.  The coalition of Friedrich Merz, Germany’s Chancellor-in-waiting, proposes to increase defense spending and also create a $500B infrastructure fund.  For certain reforms, it takes a two third majority in Bundestag. Support of the Greens may become important.  However, the Greens have concerns due to the lack of climate protection measures in new spending.
  • President Trump is not ruling out the possibility of a recession.  Trump said, “I hate to predict things like that.  There is a period of transition because what we’re doing is very big.”
  • In the early trade, the U.S. stock market is seeing selling due to Trump’s remarks. Our prior call was to buy on Trump’s re-election, take partial profits from Christmas to …

Full story available on Benzinga.com

 To gain an edge, this is what you need to know today.
Money Flowing To Europe
Please click here for a chart comparing SPDR S&P 500 ETF Trust (SPY) which represents the benchmark stock market index S&P 500 (SPX), Select STOXX Europe Aerospace & Defense ETF (EUAD), and SPDR Euro Stoxx 50 ETF (FEZ).
Note the following:

For the period shown on the chart,  Europe has outperformed the U.S. stock market by 10.39%.  The chart also shows European defense ETF (EUAD) has outperformed SPY by 22.12%.
Money continues to flow from the U.S. stock market to European stock markets.
We have previously shared with you the unintended consequence of the Trump-Zelenskyy confrontation.  This was a watershed moment unlike anything else since World War II.  From an investment perspective, the confrontation was a trigger for money to start flowing out of the U.S. and into Europe.
Increased defense spending in Europe is not a done deal, even though the stock market believes it is, according to the Arora Report analysis.
Historically, Europe has had difficulty uniting behind increased defense spending.  Further, it must all start from Germany.  The coalition of Friedrich Merz, Germany’s Chancellor-in-waiting, proposes to increase defense spending and also create a $500B infrastructure fund.  For certain reforms, it takes a two third majority in Bundestag. Support of the Greens may become important.  However, the Greens have concerns due to the lack of climate protection measures in new spending.
President Trump is not ruling out the possibility of a recession.  Trump said, “I hate to predict things like that.  There is a period of transition because what we’re doing is very big.”
In the early trade, the U.S. stock market is seeing selling due to Trump’s remarks. Our prior call was to buy on Trump’s re-election, take partial profits from Christmas to …Full story available on Benzinga.com   Read Morecontributors, Equities, Market Summary, Markets, Equities, Market Summary, Markets, Benzinga Markets