Credit Agricole CIB Research discusses the latest reading from its Risk Index.
“At -0.79 (vs -0.96 last week), our Risk Index moved towards less risk-seeking territory. This is mostly on the back of geopolitical tensions as well as rising fears over increasing inflation to the benefit of higher yields which would complicate the situation for equity markets, “CACIB notes.
“While so much remains reflected in our Risk Index still trading in risk-seeking territory, some caution is nevertheless warranted,” CACIB adds.
