DAVY VIEW

European equity markets and the euro struggled on Monday as concerns regarding the Chinese property and construction sectors grew and investors remained fearful of a fresh recession through the turn of the year. On that point, the German IFO survey for September reinforced the gloomy message from last week’s euro area composite PMI at 47.1 in September. Hence, the euro/dollar exchange rate pushed below $1.06 for the first time since March.