KBC Market Research Desk
KBC Bank
After Asian stocks, also European shares dropped slightly lower as growth concerns weighed on sentiment. US Equities start the week in negative territory too, in the absence of economic data or other important news items.
At his address before the EU Parliament, ECB’s Draghi said it was too early to assess the impact of the TLTRO’s on the broader economy and added the take‐up was within the range expected by the ECB. While Draghi said the ECB stands ready to use additional unconventional measures, structural reforms are crucial to complement ECB policy.
The Bundesbank said in its monthly report that the German industry had been given a boost in July by the fact that there were fewer school holiday, but warned that August would see the opposite. They added however that the general economic trend should stay positive, although prospects had become duller due to geopolitical tensions.
Islamic State urged its followers to attack citizens of the United States, France and other countries which have joined the coalition to destroy the radical group. Syrian Kurdish fighters said they halted an advance by IS fighters to the east of a predominantly Kurdish town near the border with Turkey.
This non-exhaustive information is based on short-term forecasts for expected developments on the financial markets. KBC Bank cannot guarantee that these forecasts will materialize and cannot be held liable in any way for direct or consequential loss arising from any use of this document or its content. The document is not intended as personalized investment advice and does not constitute a recommendation to buy, sell or hold investments described herein. Although information has been obtained from and is based upon sources KBC believes to be reliable, KBC does not guarantee the accuracy of this information, which may be incomplete or condensed. All opinions and estimates constitute a KBC judgment as of the data of the report and are subject to change without notice.
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