Money flowing into European equity ETFs

Stephen Cohen from iShares tells IG that through the recent turmoil, while money has been coming out of US tech, money has been flowing into European equity exchange traded funds. Stephen also discusses the outlook with US jobs and ECB rates.

He says the European Central Bank has outlined its need to not import deflation, and highlighted the fact that it is focused on the euro. He therefore thinks Mario Draghi's comments on Thursday could potentially be bullish for the market. Meanwhile the Federal Reserve has to weigh up the recent events in China and the global economy and compare it to what is happening in its domestic economy.

Stephen thinks September is probably too early for a rate hike, but that we will see some movement before the end of the year.

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