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 Thursday at 01:56 PM 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.