Spreadex Market Update
Another cautious open for European markets
It seems policy makers are of the belief that the strength of the US economy is significant enough to justify at least thinking about ending stimulus measures. In most situations, one would expect investors to be thrilled that one of the world’s largest economies is firmly on the path to recovery. However, it seems investors are more preoccupied with the consequences of ending QE rather than rejoicing in the fact that the US economy is showing positive signs of growth.
In addition, it seems traders from the UK are shying away from equities at the moment despite a potential buying incentive in the form of today being ‘tax freedom day’. However, clearly such investors are more concerned with the impact of global growth concerns as well as the fact that the ‘tax freedom day’ is getting later each year, an indication that UK taxpayers seem to be paying taxes for longer.
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