Erste Asset Management Investment Blog

THIS AUTHOR'S POSTS

Hedge fund Archegos Capital’s default causing a big stir
Hedge fund Archegos Capital’s default causing a big stir
(c) unsplash

Hedge fund Archegos Capital’s default causing a big stir

Hedge funds have often been talked about in the past because a failure of their sometimes risky investment strategies can trigger chain reactions in the financial industry and the markets, as was the case recently with Archegos Capital. But hedge funds often take on an important role with their alternative investment strategies. Read more on our blog.

US and Europe restarting joint efforts in fight against climate change
US and Europe restarting joint efforts in fight against climate change
(c) MANDEL NGAN / AFP / picturedesk.com

US and Europe restarting joint efforts in fight against climate change

The USA and the EU are back on the same page as new President Joe Biden takes office. The new US climate envoy John Kerry, on his first visit to Brussels in this role, underlined the importance of the renewed climate alliance with Europe. “We are committed to renewing our strong alliance in the fight against the climate crisis,” the former US Secretary of State said in a joint statement with EU representatives last Wednesday.

Hopes for upswing continue to drive oil and industrial metal prices higher
Hopes for upswing continue to drive oil and industrial metal prices higher
(c) unsplash

Hopes for upswing continue to drive oil and industrial metal prices higher

Hopes for an economic recovery, but also the latest inflation fears, have recently fuelled the price rally on the commodity markets, with prices for crude oil and industrial metals continuing to soar. Several metal prices recently rose to multi-year highs.

EU Commission lowers growth forecasts for 2021, but is more optimistic for 2022
EU Commission lowers growth forecasts for 2021, but is more optimistic for 2022
(c) unsplash

EU Commission lowers growth forecasts for 2021, but is more optimistic for 2022

In view of the still rampant Corona pandemic, the EU Commission has recently lowered its growth forecasts for 2021. With the delays in some EU countries’ vaccination programmes, the lockdowns could also drag on, delaying the expected economic recovery, the Commission argues.

USA: Clear sailing for Joe Biden’s economic programme after winning Senate majority
USA: Clear sailing for Joe Biden’s economic programme after winning Senate majority
(c) Matt Johnson / flickr.com

USA: Clear sailing for Joe Biden’s economic programme after winning Senate majority

After the Democrats’ success in the Senate run-off elections in the US State of Georgia, the party now has the de-facto majority in both chambers of Congress, and therefore US President-elect Joe Biden should soon have much more leeway for implementing his economic policy programmes.

ECB and European Parliament get crisis programmes for 2021 on track
ECB and European Parliament get crisis programmes for 2021 on track
Paolo Gentiloni & Christine Lagarde (c) Olivier Matthys / AP / picturedesk.com

ECB and European Parliament get crisis programmes for 2021 on track

As the year 2020 comes to a close, the European Central Bank (ECB) and the European Parliament have put their respective programmes for the fight against the crisis on track for next year. The MEPs recently approved the approximately EUR 1.1tn Community budget for the next seven years, which includes EUR 750bn in Corona aid.

OPEC+ haggling over production restrictions at ongoing meeting
OPEC+ haggling over production restrictions at ongoing meeting
(c) unsplash

OPEC+ haggling over production restrictions at ongoing meeting

The eyes of the international business world are currently fixed on Vienna. At the OPEC headquarters in downtown Vienna, the oil cartel’s member states and its allies are currently haggling over production volumes, and thus the further development of oil prices, via video conference.

Turkey: Erdogan combats crisis with new economic programme after change of staff
Turkey: Erdogan combats crisis with new economic programme after change of staff

Turkey: Erdogan combats crisis with new economic programme after change of staff

After unexpected replacements of the head of the central bank and the finance minister, Turkish President Recep Tayyip Erdogan recently declared war on the inflation and currency depreciation in his country with a new economic programme. In doing so, Erdogan is radically turning away from his previous economic policy line by relying on foreign investment and monetary stability.

Global economic slump less severe than expected, but still the worst recession in decades, according to IMF
Global economic slump less severe than expected, but still the worst recession in decades, according to IMF
(C) IMF Photograph / Stephen Jaffe

Global economic slump less severe than expected, but still the worst recession in decades, according to IMF

According to current forecasts by the International Monetary Fund (IMF), the global economy should be able to handle the consequences of the corona pandemic somewhat better than has been feared. In its eagerly awaited global economic outlook for this year, the IMF now expects global economic output to decline by only 4.4 per cent. The IMF has thus adjusted its last forecast from June by 0.5 percentage points.