None Of Europe’s Regional Benchmarks Posted Positive Returns In January: DB

As equity markets entered 2016 with considerable volatility, at the country level in Europe, no regional benchmark could clock positive returns last month, reports Deutsche Bank. Tracking index performances across the globe, Andreas Bruckner and team point out in their Feb. 3 research note titled “Europe Flash Figures” that at the European sector level too, no positive monthly returns could be found.

European equities started rising last month

The DB analysts point out four stress factors to consider as the equity markets entered 2016: Chinese FX devaluation, EM capital outflows, rising U.S. high-yield spreads and slowing global economic momentum following weakening growth in the U.S. and EMs. Bruckner and team note that corporate balance sheets already looked stretched, and energy companies’ debt...