European Cyclicals Poised To Grow As Valuations Decline: Barclays

European equities dipped slightly following the Fed’s decision not to taper, ending what had been a strong run so far last month. But the underlying trends haven’t changed, and Europe looks poised to really start growing in 2014. Uncertainty is down in Europe, and assuming no surprises (like the results of the asset quality reviews coming early next year), cyclical Euro stocks are a good place to be, argues Barclay’s analyst Joao Toniato.

Equity markets were off to a strong start in September

“Equity markets were off to a strong start in September, but after the FED surprised investors by not tapering they drifted somewhat lower as concerns about US debt ceiling negotiations and government shutdown...