Equity Capital Is Moving From US To Europe With Greater Zeal

Authored by Simon White, Bloomberg macro strategist,

The pace of outflows from US stocks is picking up, while inflows to European equities is accelerating.

Money, like water, always takes the path of least resistance. The risks of fiscal austerity and recession in the US is provoking capital to leave that market and travel eastwards to Europe, where massive fiscal expansion is on the cards.