With global interest rates rising as central banks fight inflation some financial stocks can weather higher interest rates better than others. Allianz is one of the oldest and well-established German multinational financial services group. It was founded in 1890 and is one of the companies that make up the EuroStoxx 50.
This week there is some key US data coming out. If the ADP jobs data, US ISM data, and NFP jobs data all miss that could end up giving global stocks a lift higher. So, there is a potential asymmetric risk for Allianz as a stronger or a weaker interest rate outlook from the Fed could potentially lift Allianz prices.
The stock prices tend to move quite stably and the seasonal pattern is very impressive from now until the end of the year. From October 06 through to December 31 Allianz has risen 26 times and only lost value 4 times. The largest gain has been over 44% in 1998 and the largest loss was over 13% in 2008. The average return has been over 9%, so Allianz could be a stock to consider buying.
Major Trade Risks: The major risk is on any industry-specific news for Allianz, or if the ongoing Russian/Ukraine crisis weakens the outlook for the eurozone.
HYCM clients can access the Seasonax product in order to analyse over 25,000 currency pairs, indices, commodities, as well as individual stocks. Please contact your account manager for a free trial. Certain products & services mentioned herein may or may not be available to all clients depending on which HYCM Capital Markets Group entity their trading account(s) adheres to.