Is Europe becoming uninvestable?

[UK]

26 minutes ago, Spekulatius said:

Sentiment is so bad that it‘s time to look at and buy European equities. You heard it here first.

 

The two big investments I made this year are both European companies with large US exposure (30+ and 50+ of sales IIRC), they provide their services locally, so hopefully no disruption from possible tariffs:)

[james22]

 

[Libs]

2 hours ago, james22 said:

 

 

Wow. That speaks volumes.

[beerbaron]

Europe GDP has never been equal to US in my lifetime. This does not pass the smell test.

[Spekulatius]

You realize that the EU lost 67M people due to Brexit? US population is up more than 10% in that timeframe. The increase per capita of the US vs EU is way less impressive.

 

Also, if the EU is to blame, why isn’t the UK doing better since Brexit? It’s the perfect natural experiment, imo.

 

I do agree the EU has a problem, but a lot of these hot takes are deceiving, imo.

 

Checking in, you get another 15-20% explained by exchange rate movement. In 2008, the Euro was at 1.5 USD at the beginning and 1.28 at the end. Not sure which one is right here, but if I take the average and compare to 1.08 at YE 2023, I can explain another ~20% of the difference.

 

And no, inflation does not explain the change in exchange rate. The Euro was overvalued in 2008 and is undervalued now. If you don’t believe me, travel to Europe and compare prices.

Edited November 14 by Spekulatius

[Dalal.Holdings]

https://www.reuters.com/technology/space/airbus-ceo-says-spacex-would-not-pass-anti-trust-test-europe-2024-11-14/

 

Quote

By contrast, SpaceX is free to decide where to invest and manufactures 80% of what it needs, Faury said.

 

"In Europe, we tend to do the ... opposite. We make 20%, we buy 80%. And by buying 80%, you have a large supply base which is pleasing everybody. Well, Elon Musk's space is not pleasing anybody except Elon Musk," Faury said.

 

The hardcore globalists of the World Economic Forum have left their mark on Europe. It’s not pretty

[LC]

On 11/13/2024 at 7:55 AM, UK said:

 

The two big investments I made this year are both European companies with large US exposure (30+ and 50+ of sales IIRC), they provide their services locally, so hopefully no disruption from possible tariffs:)

 

Do you mind sharing the names? 

[UK]

7 minutes ago, LC said:

 

Do you mind sharing the names? 

 

Sure: ERF and RTO. Both have their own threads.

[Dalal.Holdings]

Are people in Europe even aware of the big problems facing their continent ?

 

 

 

[formthirteen]

25 minutes ago, Dalal.Holdings said:

Are people in Europe even aware of the big problems facing their continent ?

 

No, the majority of people are not aware and the stock market knows it. One recent example is Northvolt:

 

An EV-battery maker that raised $15 billion from investors including Goldman Sachs filed for bankruptcy protection after almost running out of cash

https://news.yahoo.com/news/ev-battery-maker-raised-15-103725217.html

 

 Maybe China doesn't want to share their technology with the Europe:

https://thedeepdive.ca/did-china-sabotage-northvolt-unraveling-the-crisis-behind-swedens-battery-giant/

 

Quote

 

However, according to a blog post by Swedish commentator Lars Wilderäng, who has gained attention for his reporting on financial markets, the relationship between Northvolt and Wuxi Lead took a turn. Wilderäng claims that Wuxi Lead provided defective equipment, which Northvolt has struggled to operate without the direct involvement of Chinese technicians.

Worse yet, he suggests that certain machine functionalities were deliberately omitted or sabotaged, with some speculating that the Chinese manufacturer aimed to undermine Northvolt’s operations from the outset.

 

 

Quote

 

If Chinese actors do take control of the company’s assets, it would be a significant blow to Europe’s goal of achieving energy independence. The continent has already been caught in the crosshairs of the global competition for dominance in renewable energy technologies, and this incident underscores just how vulnerable European initiatives are to external interference.

Furthermore, the possibility of deliberate industrial sabotage raises questions about the ethical and geopolitical dimensions of doing business with Chinese manufacturers, especially in critical industries like renewable energy. Wuxi Lead’s alleged actions also shine a spotlight on China’s growing economic influence and its willingness to use its technological leverage to maintain control over key industries.

With potential bankruptcy looming, the coming weeks could determine the future of not only Northvolt but also the European Union’s ambitions for a sustainable, independent energy future.

 

 

The market knows something about China too:

 

Edited 53 minutes ago by formthirteen

[John Hjorth]

29 minutes ago, formthirteen said:

 

No, the majority of people are not aware and the stock market knows it. One recent example is Northvolt:

 

An EV-battery maker that raised $15 billion from investors including Goldman Sachs filed for bankruptcy protection after almost running out of cash

https://news.yahoo.com/news/ev-battery-maker-raised-15-103725217.html

 

 Maybe China doesn't want to share their technology with the Europe:

https://thedeepdive.ca/did-china-sabotage-northvolt-unraveling-the-crisis-behind-swedens-battery-giant/

 

 

 

The market knows something about China too:

 

 

@formthirteen,

 

Are you trying kidding us all here on CoBF with this kind of reasoning and argumentation?

 

Quote

... the majority of people are not aware and the stock market knows it ...

 

Will you please give us all a break!

 

-What are you even talking about here? Please specify or describe the connections by causation between the elements of what you are talking about! Your post is saturated by biased populism, without any roots in economic realities.

 

What is your personal nationality and where do you live now?