SVM's Hugh Cuthbert on Europe's 'peculiar set of uncertainties'

US in 'tightening' mode

US stockmarkets have handsomely outperformed their European counterparts so far in 2018.

This is, of course, partly down to the current brighter economic outlook for the US economy, with GDP growth forecast to grow at 2.5% against a less impressive 2.1% for the eurozone.  Other factors such as the uncertainty over the timing of the European Central Bank's end to their asset purchase program, a less-than-straightforward interest rate path as well as continued political shenanigans in Italy have also clearly played a role.  But with the US already in tightening mode, an ongoing trade spat with both China and Europe, and President Donald Trump's foreign policy not without it...