Morgan Stanley Recommends Eurozone Stocks Amid Weaker Euro

Morgan Stanley says that despite its recommendations under-performing in Europe, the euro is heading lower and investors should consider those same recommendations to buy certain stocks.

Euro is likely headed lower

Morgan Stanley’s stock basket of weaker European beneficiaries, as the stock picks are at a 5 year low relative to their price earnings, the company is nonetheless saying now is the time to move into these stocks as the Euro is likely headed lower.

The brokerage firms FX strategists are forecasting a lower euro currency relative to the dollar over the near term, with the currency pair trading at 1.20 within twelve months.  A deterioration in the euro, making...