Salient to Investors: Barry Norris at Argonaut Capital Partners said: Buy European stocks with the highest potential for earnings growth over those with the cheapest valuations. The big liquidity rush that has made everyone enthusiastic won’t last the year – equities will rally because they are the least-worst option among asset classes. ECB
READ MORE... →Salient to Investors: Investors, economists and policy makers are starting to warn Germany is turning a blind eye to its own weaknesses. Irwin Collier at Freie Universitaet said it is clear things have to change at home too. The DAX Index rose 29 percent in 2012, its best in 9 years. Juergen
READ MORE... →Salient to Investors: The British pound advanced for the first time in 3 years against the dollar in 2012 and advance for the fourth year against the euro. The median analyst expects the pound to end 2013 at 79 pence per euro and at $1.60, and the 10-yr gilt yield to rise to 2.38
READ MORE... →Salient to Investors: Global M & A in Q4 rose to the highest level since Q3 2008. Gene Sykes at Goldman Sachs said the pickup may extend into 2013 once the fiscal cliff and euro crises find a solution, with driven by continuing consolidation in natural resources, industrials, technology and financial services. Corporations sit
READ MORE... →Salient to Investors: Ken Rogoff at Harvard says: The global economy is growing more slowly than everybody wants – The improving US is one of the bright spots with only 2% growth. China is slowing, India slowing dramatically. US trend growth rate is 2.5%. Need 4%-5% growth for a sustained period to
READ MORE... →Salient to Investors: Scotland’s biggest money managers do not expect the Europe economic slump to end anytime soon. Ben Ritchie at Aberdeen Asset Mgmt expects years of zero or little growth, with strong companies getting stronger and weak companies getting weaker. Greig Bryson at Scottish Widows Investment Partnership looks for companies that can grow irrespective of the
READ MORE... →Salient to Investors: Saumil Parikh at Pimco said: Global growth will slow to 1.3 percent to 1.8 percent from 2 percent in 2012 as the private sector isn’t healthy enough to step in and extend credit amid deleveraging. The average economist expects growth of 2.5 percent in 2013. Central banks are effective
READ MORE... →Salient to Investors: Peter Bofinger at University of Wuerzburg said: Germany would be the biggest loser in a euro breakup. Germany’s national obsession with austerity stems from a misreading of Germany’s recent history. Germans rarely acknowledge how they have benefited from the euro with lower exchange rates and record-low interest rates – the benefit of
READ MORE... →Salient to Investors: David Rosenberg at Gluskin Sheff said: the economy is stuck in the mud and it will be a wageless recovery – the fiscal cliff would trigger a recession. Housing is bottoming out. and banking is on the mend and banks are more willing to lend money. likes gold-mining stocks and utilities, dividend-paying healthcare, utility and consumer-staples stocks. likes
READ MORE... →Salient to Investors: John Paulson at Paulson & Co. said he has reduced bets that the EU sovereign-debt crisis would worsen following ECB comments in July that it was committed to preserving the euro. Paulson said the recovery in housing is a bright spot in the U.S. economy. Read the full article at http://www.bloomberg.com/news/2012-12-04/paulson-said-to-blame-bet-against-europe-for-most-of-loss.html
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