| Morgan Stanley expects European equities to enjoy strong Q4 due to better news flow from China, improving EM sentiment and more attractive valuations after the recent correction. MS said that they will raise exposure to EMs/commodities on attractive relative valuations and likely inflection in macro-economic sentiment.
The investment bank recommends taking profits in Europe-focused names and switching into companies more exposed to EMs. MS upgrades mining sector to "overweight" from "underweight" and maintains "overweight" on energy. It is also overweight on FTSE 100, and underweight on FTSE 250...............................................Full Article: Source
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