How ECB Rate Hike Is Boosting Southern European Stocks

Episode 52 of The European Economy Podcast — Lucas and Luna break down a surprising market trend: since the ECB's surprise rate hike on June 11, 2026 — the first since 2023 — peripheral Eurozone stock markets like Italy and Spain have outperformed Germany's DAX by a wide margin. Over the past five days, Spain's ETF (EWP) is up 3.6%, Italy's (EWI) up 3.4%, while Germany's (EWG) is essentially flat at +0.4%. The hosts explain why higher rates are actually good for Southern European banks and exporters, and how the Iran conflict-driven energy shock is reshuffling the regional equity playbook. They also touch on the euro's recent dip to $1.15 and what it means for competitiveness. A concrete, counterintuitive look at how monetary policy is splitting Europe's stock markets. #ECB #RateHike #Eurozone #SouthernEurope #Italy #Spain #Germany #Stocks #Equities #PeripheralMarkets #Banks #EnergyShock #IranConflict #Euro #ExchangeRate #FexingoBusiness #EconomicsPodcast #EuropeanEconomy Keep every episode free: buymeacoffee.com/fexingo