Investor Interest In Europe Keeps Getting Hotter

At Morgan Stanley’s Global Investment Conference last week, nearly half the investors chose Europe as their most preferred equity region over the next 12 months with over three-quarters saying they were bullish on the region’s growth prospects.

Krupa Patel and team at Morgan Stanley in their June 15, 2015 research report titled: “European Equity Strategy” note that Europe’s macro momentum is picking up.

Europe’s PMIs remain solid

The Morgan Stanley analysts point out that euro area economic data have been holding up better than anticipated. They note Europe’s Economic Surprise Index has now turned positive for the first time in 5 months:

Patel et al. forecast a 2.2% GDP growth...