High valuation of equity markets: Based on Société Générale’s forecasts there should be corrections on the main global equity markets in the following 12 months.
The likelihood of stricter ECB monetary policy will rise: Higher interest rates should be negative on the stock market as a whole. However, companies with a healthier capital structure may not feel so strongly about their impact.
Commodity companies, carmakers and financial institutions in equity portfolios: These sectors have shown that they fare well in times of rising yields thanks to strong cash flow and low debt.
Interesting investment stock tips: Axa, Daimler, Erste Group, Glencore, Infineon Technologies, Ingenico
12th February 2021