Our compact monthly update on developments in the real economy and on financial markets.

Stress tests (2020/9/30)

The Covid-19-induced recession has ended with a growth surge in Q3. Yet a rising tally of infections is spawning uncertainty - as is, temporarily, the Brexit endgame and the upcoming US elections.

Clear & concise

  • A historic GDP growth surge in Q3 on the heels of the coronavirus-induced recession;
  • Yet the rising tally of infections signals the potential fragility of the recovery;
  • The US elections and the Brexit negotiations are causing temporary nervousness;
  • The Fed’s recalibrated strategy is likely to become the new benchmark, prolonging the low-interest-rate phase;
  • Regarding asset allocation, we remain positive on higher-risk (European) assets.

Read more Stress tests (Perspectives edition 09/2020)