Real Yield to Determine Value, Growth Leadership: Citi

The video discusses the impact of tighter monetary policy and higher bond yields on markets, emphasizing the importance of real yields in determining market leadership between value and growth. It forecasts a shift in real yields, potentially benefiting value stocks, particularly in Europe. The discussion highlights the structural advantages of European markets, especially the UK, in outperforming the US due to higher real yields.

What are the key factors driving the markets this year according to the text?

What is the significance of bond yields in determining market leadership between value and growth?

What structural reasons might explain the undervaluation of European equities compared to the US?

How do the forecasts for real yields in the US compare to those in Europe?

In what way does the UK stand out in the context of value rotation in Europe?