How the Strong Euro Is Splitting European ETFs

The euro has strengthened to 1.14 against the dollar, yet European ETFs are showing a surprising divergence: the Eurozone-focused EZU is up 2.8% this week, while country-specific ETFs like Germany's EWG and France's EWQ are lagging. Lucas and Luna drill into why a stronger currency is a double-edged sword for export-heavy economies like Germany, while Southern European markets like Italy and Spain benefit from lower import costs. They cite fresh data from the ECB and examine how the divergence in European equity performance reflects structural differences between core and periphery economies. The episode also touches on how this dynamic is playing out in the context of the Fed's stubborn 3.4% core inflation and the weakening dollar trade-weighted index at 120.9. Listeners come away understanding why a single currency doesn't mean a single market story. #Euro #EuropeanETFs #EZU #EWG #EWQ #ECB #StrongEuro #CurrencyMarkets #ExportEconomies #Germany #France #Italy #Spain #ECB #GlobalTrade #Economics #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo