European monetary policymakers look ready to extend their fight against what their leader calls"monster" inflation, and BlackRock Investment Institute says such action will eventually shut down the outperformance of European stocks over those in the US.
Equities in the euro area have outperformed their US peers by about 14% in local currency terms since the end of September, the research group said in a note published Monday, citing MSCI index data. Europe's ability tostemming from Russia's war against Ukraine has been a key upside driver for the region's stocks. Also playing a role is the reopening of China's economy which bodes well for sectors centered on European exports.
"We don't see the outperformance lasting: The market's focus is shifting to sticky inflation due to firms upping wages to hire and retain staff. Good news on the economy means the European Central Bank needs to hike rates more to cool inflation," wrote Wei Li, global chief investment strategist at BlackRock Investment Institute. Euro area annual inflation was tracking at 8.5 % in February year over year, slower than 8.6% in January.
Black Rock can say mass if he feels like it 🇺🇸 country morally and economically destroyed by its various administrations and management to INVADE EXPLOIT EXPLOIT DESTROY to continue SUBSERVING over the economies and welfare states of citizens and idiosyncracies of countries of 🌎
I'm here because the photo of Christine Legarde stopped my scrolling.
United Kingdom United Kingdom Latest News, United Kingdom United Kingdom Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: CNBC - 🏆 12. / 72 Read more »