Euro Skeptics Are Now Believers and It’s Driving Markets Higher
- European unity is fueling a rally across markets in the region
- Goldman says Europe’s stocks will outperform against the U.S.
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Photographer: Martin Leissl/Bloomberg
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Since the birth of the euro two decades ago, the currency has faced no shortage of critics that a monetary union without a fiscal union would be dysfunctional and doomed to fail.
Now, after a landmark rescue package spearheaded by Germany and France, Europe has taken a step closer to fiscal integration -- at least during times of severe crisis. The newfound sense of regional unity is winning the hearts and minds of investors, and has sparked rallies in everything from German stocks and Italian bonds to the euro itself.