Gartmore's Guy warns over dangers of eurozone inflation

Inflation is one of the biggest headwinds facing eurozone companies in the coming months according to...

Inflation is one of the biggest headwinds facing eurozone companies in the coming months according to Roger Guy, manager of Gartmore’s £186m European Investment Trust. Inflation in the region rose to record levels in June and is showing no sign of abating despite interest rate hikes, and there is also concern over stagflation, he said. In this increasingly volatile environment, Guy has been looking to defensive companies with visible earnings streams trading at attractive valuations, including Carrefour and SAP. Meanwhile he has cut positions in tyre manufacturer Continental and Cie de...