Germany: 4 Bullish Charts

Position: Long Germany (EWG); Short Spain (EWP)

Below we refresh you with four bullish German charts, including unemployment that was released today at 7.8% in April, a sequential decline. In the face of European sovereign debt concerns, we continue to like Germany as a lower beta play on safety for an economy that should benefit from the government’s fiscal conservatism, an increase in exports alongside a weaker Euro, and an environment of low inflation. As one play on our Q2 2010 Theme Sovereign Debt Dichotomy, we’re long Germany (EWG) and short Spain (EWP). See the charts below. 

Matthew Hedrick

Analyst

Germany: 4 Bullish Charts - c1

Germany: 4 Bullish Charts - c2

Germany: 4 Bullish Charts - c3

Germany: 4 Bullish Charts - c4