European share prices trailed those of other regions in December due to a once-again stronger euro, but 2017 will go down in history as an excellent year for the stock market nonetheless. Our expert, Johan Gallopyn, outlines the main trends on the equity, bond and currency markets of the past month.
Helicopter Money is an extreme form of quantitative easing. It was first suggested in the sixties as a plan to stimulate economic growth and combat deflation. In an extreme form it is not unlike scattering money over the heads of the people. The idea of using helicopter money won ever more ground in recent months.
Economic confidence indicators continue to point to a solid cyclical growth momentum across sectors and regions. While financial market volatility is very low, economic policy uncertainty remains at high levels.
Just two months ago, the world economy seemed well on the way to a nice recovery. Trade and political tensions were easing, growth projections were revised upward and financial markets were cheery. Now all bets are off.