McCarron issues warning of inflation danger to valuations

Conference

The outlook for equities on the Continent is positive, driven in part by an improving consumer envir...

The outlook for equities on the Continent is positive, driven in part by an improving consumer environment, according to Tim McCarron, manager of the Fidelity European Values investment trust. McCarron, who took over the trust from Anthony Bolton five years ago, said the consumer and industrial sectors are growing together for the first time in four years in countries like Germany. He also believes that stock valuations in Europe are reasonable, but warned that inflation has to be controlled for this to continue. "European equities have outperformed the global stock markets in recent yea...