Greece may be on the verge of exiting the euro zone. Spain is a disaster. The UK may vote to leave the EU soon. And who knows what’s going on in Italy.
But investors didn’t care this week. In fact, it was a record week for equities in the EU, according to a note from Bank of America Merril Lynch analyst Ioannis Angelakis and his team. There was a net inflow of $US6 billion into Euro equities. All asset classes saw net positive cash inflows except government bonds, which saw a decline of under $US1 billion.
“Since the beginning of the month, European equities have seen inflows of over $US10bn, which should make this the best summer of equity inflows on record,” they write.
Did you hear that? It’s the best summer ever!