Morgan Stanley Investment's Harmstone Says 'Concerned' About Europe

The video discusses the strong start of Asian markets, particularly China, and questions the timing for investing in European assets. Concerns about Europe's growth due to global trade issues are highlighted, but potential benefits from fiscal stimulus are noted. The video also covers the eurozone's benign yields and possible currency weakness, contrasting Europe's surplus with the US deficit, affecting the dollar's outlook.

What is the main concern about investing in European assets at the start of the year?

• Strong competition from Asian markets

• High inflation rates

• Lack of growth in global trade

• Political instability

What is expected to boost the European economy in the second half of the year?

• Reduction in interest rates

• Improved relations with the US

• Decrease in global trade

• Fiscal stimulus and increased deficits

According to the European Commission, how much is the fiscal deficit expected to increase?

• 30 billion U.S. dollars

• 45-47 billion U.S. dollars

• 20 billion U.S. dollars

• 50 billion U.S. dollars

What might happen to the euro if the ECB is dovish next Thursday?

• The euro might remain stable

• The euro might weaken

• The euro might strengthen

• The euro might fluctuate unpredictably

Why is it difficult to maintain a positive view on the dollar compared to the euro?

• The US is running a deficit

• The US is running a surplus

• The euro is expected to weaken

• The eurozone has high inflation