Why the UK's path to recovery is not going to be easy

ON UK GROWTH

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Strangely, the outlook for UK equities in the coming months has much less to do with the UK economy than what is happening elsewhere in the world.

We know the UK is not in a great place, but on its own it can deliver a path to recovery and growth – it is just not going to be that easy. Europe dominates our thoughts at present, with the collapse of any of its banks, currency or governments likely to cause collateral damage that hurts the real UK economy. While any solution to the euro crisis will inevitably be painful in the real economy, any solution will be good for markets. However, with our attention directed south and east at Europe, we are potentially missing something very big happening on the other side of the Atlantic. F...

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