Investors are growing more cautious on European economy - MarketWatch
Investors are becoming more cautious about the European economy, according to a survey released Tuesday, even as the region benefits from a ramp up in vaccinations and the distribution of European Union aid money.
A net 44% of European investors in August expect a stronger economy over the next 12 months — the lowest reading since June 2020, and down from 80% in July, according to Bank of America’s fund manager survey.
The survey also found a net 36% overweight the region, down from 45% in July, and a net 2% underweight U.K. equities.
European stocks slipped on Tuesday as banking stocks fell.
Up over 18% on the year, the Stoxx Europe 600 fell 0.2% to 472.75. Decliners included technology investor Prosus PRX, -3.24% , after another tough session for Tencent 700, -4.14% in Hong Kong, as well as luxury goods maker Kering KER, -1.01% and French bank BNP Paribas BNP, -1.84% .
Of the major regional indexes, the German DAX DAX, -0.02% declined 0.3% and the French CAC 40 PX1, -0.28% declined 0.6%, while the U.K. FTSE 100 UKX, +0.38% increased 0.1% thanks to a rally in BHP Group BHP, +3.40% . Read more in London Markets