Market looks for attractive themes

By Raj Shant is head of European equities at Newton Investment Management So far this year, European stock markets have been volatile with a downward bias ' but there are still plenty of attractive themes and stocks in which to invest. Growth has continued to prove elusive and, although the eurozone inflation rate has remained stubbornly above the ECB's 2% target, the ECB is looking for the recovery to gather steam before reversing last year's rate cuts. We believe interest rates will not rise as much or as quickly as the markets currently expect. We believe Europe is at a parti...