The economy continues to cloud over.

Dear Readers,

The ifo business climate in November did not reverse the trend. The most important component for us - the industry's expectations for the future - has continued to decline. The ifo traffic light is now also "red" again. Red traffic light values make a contraction of the economy more likely than an expansion.

As long as there is no turnaround in business expectations, we must continue to assume that we are in the midst of an economic downturn. It is therefore still advisable to remain very cautious when investing in equities.

Conclusion:

In view of the steady decline in business expectations since the end of February, the private-wealth stock market indicator only suggests an equity quota of between zero and 30 percent. In the course of the stabilisation of the capital market seismograph in recent weeks, it seems appropriate, and even a few days ago, to position oneself at a rate of around 15 percent. The current data of the ifo Institute have not changed this.

You,

Klaus Meitinger

Note: Despite careful selection of sources, no liability can be accepted for the accuracy of the content. The information provided in private wealth is for information purposes only and does not constitute an invitation to buy or sell securities.