The hunt for yield in Europe is positioning a certain bond ETF for big gains.
Right now, Eurozone government bonds are a no-go. Yields are crashing all across the continent and the profit opportunities are drying up. This will only be made worse as the European Central Bank carries on with quantitative easing.
But it's making this bond ETF, which plays off an important subsector, a must.
The hunt for yield in Europe is positioning a certain bond ETF for big gains.
Right now, Eurozone government bonds are a no-go. Yields are crashing all across the continent and the profit opportunities are drying up. This will only be made worse as the European Central Bank carries on with quantitative easing.
But it's making this bond ETF, which plays off an important subsector, a must.
Understanding how quantitative easing works sheds very little insight as to how European Central Bank QE works.
What we've come to know in the U.S. as QE is simple. Large-scale bond purchases. But Europe has 19 member countries to buy debt from.
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Investors shouldn't let fears over the Greek debt crisis scare them away from a promising Europe ETF play.
After all, the European markets don't seem too concerned. Just look at the events that unfolded this week.
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The European Central Bank quantitative easing regime is officially in full swing.
European Central Bank data released last Friday indicated as much. The sovereign bond-buying program began March 9. And in just two weeks, Eurozone central banks had already purchased 26.3 billion euros. This is all while economic indicators seem to point toward a recovery.
Greece is on track to run out of money in two weeks.
Unless officials can alter its current burn rate, the Mediterranean country will hit a cash wall on April 8, according to German newspaper Frankfurter Allgemeine Sonntagszeitung.
Exactly how much does Greece owe?
The country is 323 billion euros in debt ($352.7 billion) - more than 175% of its GDP.
These four charts help to put that number into perspective...
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The march to euro-dollar parity continued today (Wednesday) as the currency slipped below $1.06 for the first time since 2003.
In January, our 2015 euro forecast saw euro-dollar parity happening sometime in the first half of 2016.
It's fallen 12.6% in 2015. And it's still got a ways to go...
The European Central Bank meeting today (Thursday) stuck to the Eurozone's easy money script.
European Central Bank president Mario Draghi's commitment to super accommodative monetary policy in a sluggish Eurozone is certainly not the medicine Europe needs right now.
But it is has made some already enticing investment opportunities all the more attractive...
Last week, the European Central Bank's turn finally came to announce large scale quantitative easing.
As the continent witnesses a battle between deflation and attempts at inflation, will it finally be enough?
Europe is following in the footsteps of the United States, hoping for similar "successful" results.
Instead, it's likely to fall somewhere between the U.S. and Japan.
From the Land of the Rising Sun there is precedent, but it's a forewarning.
The Federal Open Market Committee (FOMC) Meeting today marks 2015's inaugural meeting of the U.S. Federal Reserve's monetary policy makers.
It's only been a month since the last meeting convened. But a lot has changed. It's following big stories in the way of global central, particularly from the European Central Bank.
The Greek election results have ushered in a new political era for Greece.
And this will certainly impact the euro in 2015.
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The Eurozone quantitative easing announcement has come and gone.
There are a lot of headwinds on the road to QE-induced euro devaluation. But don't expect the current weakness in the euro to persist.
It's likely to bounce - soon. Here's how to play it for profits...
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European Central Bank President Mario Draghi announced a quantitative easing program today (Wednesday), leaving many to wonder how Eurozone QE works.
Through Eurozone QE, the ECB will purchase 60 billion euros a month, through a combination of asset and sovereign government bond purchases.
Here's how QE works, and how it will play out in the Eurozone...
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Top Financial News: The World Economic Forum kicked off today in Davos, Switzerland, and it's been grabbing headlines all across the financial press.
But the novelty of Davos wears thin quickly - it's a gathering of the world's economic elites yukking it up in one of the world's most expensive European resort towns.
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Amidst a wave of central bank meetings this week, the European Central bank and the Bank of Japan matter the most.
The BOJ strategy will change little save for the possible extension of a mostly ineffective lending program. The ECB will probably announce a bond-buying program to hasten depreciation of the euro.
Savvy investors can profit from both moves.
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The Swiss National Bank's three-year old franc-euro peg is no longer.
Yesterday (Thursday), the Swiss National Bank decoupled its fixed 1.2 CHF/€ exchange rate. This was on expectations that the European Central Bank will announce a quantitative easing policy in next week's meeting.
Here's why the Swiss abandoned the peg...
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