Bloomberg, Bloomberg European, Europe discussed on Bloomberg Daybreak: Europe
The major the heels. Also in the same way. He's at the top of the table. I think this is not the Liverpool hope to stretch their unbeaten run in European football to twenty matches tonight's they take on Germany titleholders blind Munich at films in the first leg of their last sixteen Champions League tie. There's a heart and Darby in the Scottish Cup. Tonight's Inverness host Ross county and a fifth round replay. And former crooked Marcus discovery hopes. The departure Paul Farbrace. Why disrupt the World Cup plans? The national team's assistant coach will step down off the West Indies toward the end of March to take up a role with Warrick shit. That's where your European sports. Now, the new year bounce in European stocks could fizzle out according to forecasters European equities added a trillion dollars in market value since December twenty seventh only dovish fed and trade tourism. Now concerns are creeping back in according to the average response to a Bloomberg poll. The stock six hundred is expected to lose four point five percent from yesterday's close by the end of this year. Joining us now in the London studio, Bloomberg European stocks reporter Cassandra Gallucci because then you great to have you with us. So I wonder if it loses four point five percent from here. First of all does that mean it's flash on the year overall? Or is it actually a decline question? One question two is the decline expected because of reasons specific to Europe or reasons that will affect other equity indices as well. Right. So it's poised to be another challenging year for European stocks for European equities. They just can't seem to catch a break. So. European equities having joined a really nice rally so far they're up about ten percent. But that's really thanks to the global equity rally. Right. We've got the dovish fed. We've got optimism that China and the US will bridge good trade deal. But at the same time, all of these factors. They can go away in one second. Right. And we're ready seeing that trae concerns come back right with the automaker. Tariffs news since Sunday. Right. Putting carmakers around the world the under pressure and also economic growth in Europe remains very weak. And as we saw the European Commission cut growth forecasts for the EU and for major economies like Germany, Italy earlier this month. Okay. So they actually if by the end of the year still be higher, right? If they've gained ten percent where and it sounds like it's a combination of factors. Then you look under the hood, though, some of the sectors that might be gaining and some of the sectors that might be on the losing side of things talk us through what the thinking is. So that's been an interesting story. So cyclical. Miners, retail tech and oil have been doing really well this year again on this trade optimism, right? That can evaporate in one second as we know. So they've been the best performer this year while defensive sectors like telecoms utilities healthcare have lacked. But at the same time analyst forecast, the top earnings growth for these sectors like healthcare, right? A major defensive sector also for tech and for oil, for example, on the contrary the expect almost zero earnings growth for this year Hugh change compared to last year. Yeah. And how are investors feeling about European stocks these days, then do they believe in this rally or they staying on the sidelines? So that's also really interesting. So while we've seen this major rally of almost ten percent year todate outflows from European equity funds have continued right? So we had only one week of inflows. And so far it's been like non stop almost fifty week of outflow since last March almost city. A year of outflow for European equities. No other major geographic region has seen so many outflows. Thank you so much because then you glued co our Bloomberg European stocks reports taking us through the forecast for European equities. Speaking of which we are forty minutes into the equity trading session losses are mounting a little bit where off by three tenths of a percent after two days of gains for the stock six hundred after a bit of a mixed session in Asia..