European stocks are the hottest trade on Wall Street as investors turn away from US 'exceptionalism'
Published On Mar 11, 2025, 8:10 AM
European stocks are surging as investors shift away from US equities, with many believing that the US's role in global politics and the economy is weakening. Issues like support for NATO and defense spending have made European markets more attractive. Major indices in Europe, such as Germany's DAX and France's CAC 40, have seen significant gains this year, while US stocks struggle to maintain their positions. Analysts are predicting continued strength in European equities due to increased fiscal spending in the eurozone, particularly in Germany, enhancing economic sentiment.
Stock Forecasts
IEV
Positive
With the rising attraction of European stocks over US equities, investors may consider ETFs that focus on European markets, given the expected increase in fiscal stimulus and economic growth in the region. ETFs like the iShares Europe ETF (IEV) could benefit from this trend.
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