European fiscal accommodation is expected to accompany GDP growth as spread tightening and populist elections are in view. With upcoming general elections in Germany, France and Italy, and a tide of populism gripping both the U.S. and European political theater, fiscal policy in the Eurozone is expected to loosen. The change in approach from austerity under Troika programs will have a material impact on Gross Domestic Product growth in the region, a June 3 Goldman Sachs report predicted. European Fiscal Accommodation: Rise of political populism tied to tight financial conditions Fiscal policy had been tight in the Eurozone from 2011 to…
With Key Elections Approaching, Watch For European Fiscal Accommodation
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.