Is the Rotation into European Assets Durable?

This podcast examines Germany’s impending fiscal expansion through a massive €500 billion spending program and its potential to reshape both the German economy and the broader Eurozone. The discussion outlines that European equities and the Euro are gaining strength amid expectations of increased growth, while U.S. equity allocations could face capital outflows, especially in sectors sensitive to trade dynamics and a weakening dollar. Listeners are guided through actionable portfolio strategies, quantitative signals across equities, fixed income and currencies, and a detailed analysis of market regimes and risks. The conversation also addresses the potential impact of global liquidity trends and policy uncertainties, particularly in the context of U.S. asset valuations and international capital shifts.