The apparent contrast between record low bond yields, on the one hand, and sharply higher stock prices with subdued volatility, on the other, cast a shadow over such valuations. 3. Global growth is continuing along at a slow pace A range of indicators suggest that the euro area economy remained remarkably resilient after the vote.
The negative impact of the UK’s vote to leave the EU on growth, in the UK and the euro area appears to have been materially less than initially expected. ECB’s President Draghi said recently that the effect of the Brexit vote on the eurozone’s growth is estimated at around 0.5% over three years.