JPM's Macklow-Smith Sees Earnings Growth as Key to European Equities

The video discusses the current state of the European equity market, highlighting low volatility and potential investment opportunities if earnings growth holds. It emphasizes the importance of emerging markets and dollar stability for European earnings. The discussion shifts to US technology valuations, noting that current earnings justify these valuations despite interest rate concerns. Finally, the video addresses trade tensions, particularly between the US and China, and their impact on industrial confidence and investment decisions.

What is the current state of the European equity market according to the transcript?

• It is outperforming the Asian market.

• It is experiencing record highs.

• It is near record lows in volatility.

• It is highly volatile.

What factor is crucial for the European market's performance according to Steven Macklowe Smith?

• Domestic growth in the Eurozone

• Stability in emerging markets

• Interest rates in Europe

• US market performance

How does the current valuation of US technology stocks compare to the year 2000?

• They are at the same level as in 2000.

• They are lower than in 2000.

• They are more justified now due to earnings growth.

• They are less justified now.

What is a potential risk to the sustainability of US tech valuations?

• A decrease in European interest rates

• A reset of US long-term interest rates

• An increase in domestic US growth

• A decline in Asian markets

What is a major concern affecting industrial confidence according to the transcript?

• Potential trade barriers and extended supply chains

• Increased investment in the Eurozone

• Stable trade relations with China

• High domestic growth in Europe