Daily Shot: Eurozone economy improves but Brexit fears intensifies
- Eurozone GDP revised higher as spending increases
- German 5-year benchmark turns more negative
- Swiss 30-yr government bond hits record low
- German industrial output beats forecasts
- UK Economic Policy Uncertainty Index spikes on Brexit fears
- BPVIX spikes as Brexit and Bremain run neck and neck
Once again, let's begin with several developments in the Eurozone.
1. Eurozone GDP was revised upwards amid improved household spending. Will this be the year the euro area's economy grows faster than the US?
Elsewhere in Europe, the Swiss 30-year government bond yield dropped to a new low of 12 basis points. Is it going negative as well?
1. Turning to the UK, the nation's Economic Policy Uncertainty Index (3-month moving average shown) spikes on Brexit fears.
2. Is Brexit risk driving outflows from European funds held by US investors?
3. Some polls seem to show the EU Referendum "Leave" campaign ahead.
4. Here is the Economist's Brexit poll average.
5. The British pound implied volatility index rises further on Brexit concerns.