"Most U.S. portfolio managers seem to view the EU sovereign debt crisis as they would a pesky mosquito that refuses to fly away. If only the mosquito would leave, the asset managers could concentrate on the U.S. where the economy is said to be showing so much improvement and stocks are incorrectly perceived to be cheap. Unfortunately, that is not the case. The EU crisis is part of a developed world credit crisis brought on by too much debt that must be deleveraged, a process that will take many years in both the EU and the U.S. It should clearly be realized that the EU debt problems are not going away soon, that it will impact the U.S. and that the U.S. economy has its own serious problems as well. In addition, there are signs that the global economy is slowing down as well..."
at http://pragcap.com/the-market-is-still-facing-strong-headwinds
at http://pragcap.com/the-market-is-still-facing-strong-headwinds
