Deutsche Bank Sees Signs of Exhaustion in Europe Cyclical Rally
- Stocks geared to economy seen underperforming defensive peers
- Deutsche Bank is underweight on banks, miners and autos
Gartman Says Stocks Have Peaked and It's Time to Sell
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The record-beating rally of European cyclical stocks is heading for a pause.
That’s according to Deutsche Bank’s head of European equity strategy Sebastian Raedler, who argues that equities geared to the economy will underperform defensive peers by about 10 percent through mid-year. Sectors like banks and miners -- which last year benefited from investor optimism over growth -- will bear the brunt of slowing economic momentum in Europe and globally, he said by phone.