Due to structural headwinds, we downgraded European equities to Underweight in December. Yet a number of catalysts could occur in Q1 that could be well received by equity markets. We peruse the opportunities that may emerge in European equities.
Economics is rife with self-correcting mechanisms, and we give our thoughts on how that dynamic is likely to play out in the relationship between the U.S. budget deficit and longer-term interest rates.
