Global investor confidence fell slightly in May despite its increasing in Asia and Europe, according to State Street.
The State Street Global Investor Confidence Index (ICI) fell two points during May to settle at 106.6, with State Street executive vice-president and chief innovation officer Jessica Donohue citing North America’s 5 point decrease from 114 to 109 as a driver.
Ms Donohue said “weak earnings in the United States, renewed [US Federal Reserve] hawkishness and uncertainty associated with the upcoming presidential elections” were all factors in the decrease.
Elsewhere, sentiment was more positive, with both the European and Asian ICIs recording an increase on last month, and with increases of 1.4 and 4.1 respectively.
“The regional breakdown of our investor confidence index this month reveals an interesting story,” said ICI developer Kenneth Froot.
“Risk aversion remains central in Europe as investors doubt the efficacy of policy makers and anxiously anticipate the outcome of the UK referendum [on EU membership],” he commented, adding that fears of a Chinese yuan devaluation may “give investors pause”.
Investors are being advised to position their portfolios defensively in 2019 as Europe may be teetering on the brink of recession according ...
The government has asked for public consultation on two bills that will implement the tax and regulatory components of the CCIV regime and i...
Despite Theresa May’s proposed Brexit plan suffering a large defeat in the UK parliament, AMP thinks it may result in a softer outcome ove...