Inflation Is a Tailwind for European, Morgan Stanley Says
Bloomberg 2026-07-10 11:31:53
Context: European equities are poised to benefit from higher inflation, according to Morgan Stanley's chief European equity strategist Marina Zavolock. Zavolock believes the market underestimates the region's exposure to sectors that profit from rising prices. This perspective comes as inflation trends are being closely watched for their potential impact on various markets.
Key Facts
- Morgan Stanley's chief European equity strategist, Marina Zavolock, stated that European equities stand to benefit from higher inflation due to the region's significant exposure to real assets and banks.
- Zavolock noted that the market underestimates the region's exposure to sectors that profit from rising prices, indicating a potential for positive performance in European equities.
- According to Zavolock, the sectors that will likely benefit from higher inflation include real assets and banks, which tend to perform well in environments with rising prices.