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Podcast: All into Account
Episode: Equity Strategy - Open UW in Banks, add to Healthcare; Peripheral views; Earnings season update
Description: Speaker: Mislav Matejka, CFA, Head of Global Equity Strategy
We are advising to open a short in European Banks, and we move the sector from Neutral to UW. Banks have been one of the best performers in the past 6 months, second only to Energy, are ahead nicely ytd, up 8% vs SXXP at 1%, to be cumulatively ahead by 60% since Sept 2020. If bond yields are in the process of peaking this quarter, as we suspect, then Banks could start to struggle. After all, the Banks rally was underpinned by the sharp move up in bond yields over the past 3...