Tenerelli: Ireland leads the way as Europe emerges from danger zone

Europe is on the road to economic recovery as Ireland becomes the first country to emerge from the financial crisis, according to T. Rowe Price's European equity manager Dean Tenerelli.

The portfolio manager said there are signs corporations are returning to Ireland, while its property index shows capital is moving in. “This has been achieved through an impressive improvement in competitiveness,” he said.  “The unit labour cost has fallen from a peak of almost 150 at the end of 2007 to 125 now.” The manager expects Spain to follow suit this year, pointing to the fact labour costs have come down so far that four car companies have chosen to relocate their manufacturing facilities there. Post-election, Italy will continue to cause uncertainty, although Tenerelli pre...