Euro Notes Jim Dyson/Getty Images

Taking Eurozone Growth Seriously

At least until recently, embracing the idea that eurozone economic growth may be about to take off might earn one a referral to a mental-health specialist. But analysts should consider the possibility, because, on the off-chance that growth accelerates, as it did in the first quarter, there would be some serious money to be made.

LONDON – I have been out of the world of international finance and economic forecasting for more than four years, but much of what I learned during my 30 years working full-time in the field still influences how I view the world. One lesson was to measure an entity’s economic and financial performance by how it compares both to the entity’s underlying potential and the market’s valuation of its performance. Applying this approach to the major economies gives rise to some surprising observations – and possibilities.

https://prosyn.org/Bk4mpLN