17.10.2024
How much do investors risk from European recession?
How prepared would the markets be for the scenario of a recession in Europe? For some analysts, perhaps European markets are discounting this eventuality too little (or not at all). Uncertain economy, markets towards highs Forecasts on the trajectory of the European economy remain uncertain. There is no shortage of risk and destabilisation factors: from ongoing wars to the slowdown of crucial economies such as Germany. But despite this, markets are close to their highs. As revealed in an article by Sara Silano published by Morningstar, there is a risk that markets are underestimating the probability of a recession. Underestimated signs of weakness? In this regard, Silano reports the opinion of some experts. IG Italia's senior market strategist Filippo Diodovich believes that markets are expecting a possible economic slowdown, but do not seem to be taking the scenario of a recession seriously. This situation, however, is not so unlikely, as some indicators, including the PMI ind ...