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Syz Group entities or third parties, which may have reached different conclusions. The market valuations, terms and calculations contained herein are estimates only. The information provided comes from sources deemed reliable, but Bank Syz Ltd. does not guarantee its completeness, accuracy, reliability and actuality. Past performance gives no indication of nor guarantees current or future results. Bank Syz Ltd. accepts no liability for any loss arising from the use of this document.
This marketing document has been issued by Bank Syz Ltd. It is not intended for distribution to, publication, provision or use by individuals or legal entities that are citizens of or reside in a state, country or jurisdiction in which applicable laws and regulations prohibit its distribution, publication, provision or use. It is not directed to any person or entity to whom it would be illegal to send such marketing material. This document is intended for informational purposes only and should not be construed as an offer, solicitation or recommendation for the subscription, purchase, sale or safekeeping of any security or financial instrument or for the engagement in any other transaction, as the provision of any investment advice or service, or as a contractual document. Nothing in this document constitutes an investment, legal, tax or accounting advice or a representation that any investment or strategy is suitable or appropriate for an investor's particular and individual circumstances, nor does it constitute a personalized investment advice for any investor. This document reflects the information, opinions and comments of Bank Syz Ltd. as of the date of its publication, which are subject to change without notice. The opinions and comments of the authors in this document reflect their current views and may not coincide with those of other Syz Group entities or third parties, which may have reached different conclusions. The market valuations, terms and calculations contained herein are estimates only. The information provided comes from sources deemed reliable, but Bank Syz Ltd. does not guarantee its completeness, accuracy, reliability and actuality. Past performance gives no indication of nor guarantees current or future results. Bank Syz Ltd. accepts no liability for any loss arising from the use of this document.
For years, Italy and Spain were labeled the "risky periphery" of the Eurozone. Today? They are the new safe havens. Here is what’s happening in the markets right now (and why you should care): 1. The 16-Year Milestone 📉 Italian and Spanish borrowing costs have hit their lowest levels relative to Germany since 2009. The "risk gap" is evaporating. 2. The "Tale of Two Europes" ↔️ While the South is belt-tightening and growing, the traditional "safe" anchors are drifting: Spain: Set to be the world’s fastest-growing large advanced economy in 2025 (2.9% GDP growth). Italy: Winning over markets with fiscal discipline and a crackdown on tax evasion. France: Struggling with political turmoil and a budget deficit that has pushed its borrowing costs above Spain’s. 3. From "PIIGS" to "Prudent" 💎 Remember the Eurozone crisis? That memory is being replaced by a new reality. Fund managers like Vanguard and BNP Paribas are no longer seeing these as "distressed" assets. They are seeing them as core investments. 4. The Institutional Shift 🏦 The ultimate signal? Ultra-cautious central banks are now looking at Italian and Spanish debt for their foreign reserves. That is the highest stamp of approval a sovereign bond can get. The Lesson: Markets have long memories, but they aren't static. Resilience is built in the tough times. The "periphery" isn't the periphery anymore. It’s the engine. 🚀 Agree? Or is this just a temporary honeymoon phase for the South?
Japanese 10-year government bond yield hit 2.07%, the highest since the 1990s. Gold prices hit a record $4,440, rising +68% year-to-date. Finally, silver prices surpassed $66 per ounce for the first time in history, now up +134% year-to-date. When will it end? Source: Global Markets Investor
"Chancellor Friedrich Merz has now suffered a setback in foreign policy as well. He was unable to push through the Mercosur trade deal – an agreement that matters greatly for Germany’s economy – and the plan to support Ukraine’s debt relies on the issuance of joint EU debt. As a result, Germany is slowly losing one of its last competitive advantages: its superior credit rating. The risk premium on EU bonds relative to German Bunds has narrowed sharply in recent weeks". Source: HolgerZ, Bloomberg
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