First German trade deficit in 31 years shows EU’s vulnerability

Germany has unexpectedly reported its first trade deficit since 1991. The reversal of the trade balance in Europe’s largest economy shows how difficult it is for German companies to handle rising costs of oil and gas. Economists at ABN Amro and Nomura meanwhile expect Europe will enter into a recession.

ABN clients opt for higher risk

At ABN Amro, clients have shifted to a higher-risk investment profile. Whereas previously the most popular profile invested mainly in bonds, this has now changed to a profile investing 55 per cent in shares, explained Richard de Groot of the bank an interview with Fondsnieuws as part of its series on asset allocation amid the current low interest rate climate.