EUROPEAN STOCKS ABOUT TO EXPLODE

● Tariffs-Illusory, ‘Here’-Good

European Stocks: Now is a Good Time to Invest – Brighter Global Economic Outlook Than the U.S.

[1] Re-evaluating the Appeal of European Stocks

A clear recovery trend has been evident in the European economy since Q4 2023.

European stocks are highlighted as a better investment opportunity than U.S. stocks.

A well-known guru, Campea, has shifted expectations for European stocks after two years.

Investment sentiment is in a correction state, suggesting a high possibility of a V-shaped rebound, not a short-term decline.

[2] The Difference Between Correction and Bear Market, and Sentiment Shift

Most bear markets initially decline gradually, followed by a sharp drop at the end.

The current market situation is in a correction phase, not a major crash.

A correction can induce a V-shaped rebound as news-driven sentiment quickly reverses.

Attempts to predict market corrections can be counterproductive.

[3] U.S. Presidential Inauguration and Stock Market Trends

Analysis of stock return patterns in the first and second years of U.S. presidential terms.

Initially, performance is somewhat sluggish due to unmet expectations from ambitious pledges, but stock price growth tends to increase in the third and fourth years.

There are differences in stock market reactions between Republican and Democratic presidents, but ultimately, they all lead to gains.

Anxiety related to Trump could actually act as a signal for a stock price rebound.

[4] Tariff, Inflation Concerns, and Market Response

Excessive concerns about tariff issues are deemed meaningless, similar to the “Trump Diary” of the past.

The essence of inflation is the relationship between the money supply and the quantity of goods, and tariffs do not significantly affect this balance.

The direct impact of tariffs is minimal due to the service-oriented structure of the U.S. economy.

Like the case of China, the market will find alternatives and rebound, surpassing regulations.

[5] Economic and Political Situation by European Country

UK – Despite concerns about stagnant Q3 GDP and payroll tax increases, private consumption and business investment are increasing.

Germany – More of a sideways trend than a recession; there are no major issues with mid-to-long-term growth rates.

France – Concerns related to fiscal deficits exist, but the government is managing risks with reform efforts.

The entire Eurozone is showing gradual recovery momentum as political uncertainty decreases.

[6] Value Stock Rotation and the Competitiveness of European Stocks

The U.S. has a high proportion of IT-focused growth stocks, which are relatively overvalued.

Europe has a high proportion of value stocks in industries and finance, with many undervalued stocks.

European stocks, currently discounted due to excessive risk aversion, are likely to show high returns when the market recovers.

Campea ultimately predicts that value stock rotation will occur, leading to double-digit gains for European stocks.

[7] Outlook for the Korean Stock Market and Domestic Economic Situation

The Korean stock market has already priced in all negative and positive factors amidst a state of emergency and mixed economic indicators.

As the rule of law and institutional soundness are revealed, the outcome of the impeachment trial is expected to act as a positive for the stock market.

However, the Korean economy is showing inconsistent patterns in consumption and investment but has the potential to recover in the long term.

[8] Conclusion – Finding Investment Opportunities in the Gap Between Reality and Expectations

The essence of investment is finding opportunities in the gap between expectations and reality, whether the situation is good or bad.

Currently, European stocks have a high probability of rebounding due to excessive negative sentiment and discounted prices, and U.S. and Korean stocks are also showing corresponding momentum.

It is necessary to pay attention to future trends from the perspective of the global economic outlook, stock market, financial market, and investment strategies.

Summary

Recently, European stocks have been showing a recovery trend since Q4 2023, and there is a high potential for discovering value in areas such as the proportion of value stocks compared to the U.S. Despite being in a correction phase, there is a high possibility of a V-shaped rebound, and the pattern of the stock market after the U.S. presidential inauguration and concerns about tariffs are also expected to move away from sentiment and ultimately maintain a stable flow. As the economic and political risks of each country are already reflected in the price, it is good to pay attention to the gap between reality and expectations when establishing investment strategies in the global economic outlook and stock market.

SEO Keywords: Economic Outlook, Global Economy, Stock Market, Investment Strategy, Financial Market

*YouTube Source: [이효석아카데미]

– [먼슬리구루] 미국의 관세는 모두 허상입니다. 그리고 저는 ‘이곳’이 좋아보이네요 [3월 1부 – 켄 피셔]

● K-Jets, Southeast Asia, Middle East Domination

Prospects for Korean Defense Innovation and Enhanced Export Competitiveness

1. Development and Test Schedules and Prospects

Explanation of how the defense industry gains global competitiveness through its money-making methods and leading industries.
The test of mounting air-to-surface missiles (Cheon Yong) on the FA-50 fighter jet has recently begun in earnest.
It is scheduled to be equipped with a dedicated satellite on the FA-50 by 2026, and test flights will be conducted.
KF-21 Block 1 is expected to be completed in 2026, followed by two years of test flights, and final testing will be completed by 2028.
During the testing phase, gliding without installing an engine, and later conducting live-fire shooting through engine operation, will be performed to verify performance and accuracy.

2. Core Technology and Enhanced Competitiveness

Korean fighter jets are equipped with stealth capabilities and precision guidance technology, giving them the ability to evade missiles.
The penetration power issue of missiles is also expected to be gradually improved.
The same platform, FA-50 and KF-21, complement each other, and are expected to increase international demand in terms of cost-effectiveness and maintenance costs.
In particular, promoting the localization of air-to-surface missiles is expected to lead to technology transfer and independent development of domestic engines, radars, and weapons systems, thereby increasing competitiveness in the global defense market.

3. Supply Chain Instability and Export Potential

Currently, there is a problem of supply chain instability due to dependence on imports of U.S.-made air-to-air missiles.
Overseas customers, such as the Polish government, are demanding stable missile supply sources.
Accordingly, the development of domestic air-to-air missiles is being promoted, with an expected development period of 7 to 8 years.
Once localization is achieved, it is expected that competitiveness and supply stability will be secured in the export market, and overseas demand will increase.

4. Technology Transfer and Collaboration Cases

Korean defense has built its own technological capabilities through technology transfer and cooperation based on the R.O.K.-U.S. alliance.
For example, technology transfer has been carried out with overseas partners such as Lockheed Martin in the development of F-16 and KF-21.
Technology transfer has led to upgrades and innovations rather than simple copying, successfully reducing costs and shortening development periods.
In addition, the solid operation of the industry-led development and the joint R&D structure led by the National Defense Research Institute is continuing defense innovation.

5. Defense Investment and Global Economic Outlook

The defense industry goes beyond simple weapons development and is directly linked to global exports and economic growth.
From an economic perspective, defense is a stable export item that enhances national brand value through overseas market penetration and technological competitiveness.
In particular, the export competitiveness of fighters such as FA-50 and KF-21 is drawing attention as a success story of defense investment activation and technology transfer.
Cost efficiency and the establishment of a sustainable supply chain are expected to act as a new growth engine for Korean defense in the global economy.

< Summary >
Korean defense is in the process of testing and developing air-to-surface and air-to-air missiles, focusing on the FA-50 and KF-21 fighter platforms.
Step-by-step test flights are scheduled to begin in 2026, and final performance verification is expected by 2028, with high overseas export potential in terms of cost-effectiveness and maintenance costs.
It is expected that the development of domestic missiles and successful technology transfer cases will strengthen defense investment and global export competitiveness in order to overcome supply chain instability issues.
Overall, the technological innovation and cooperation of the defense industry are expected to act as an important growth engine in the national and global economies.

*YouTube Source: [와이스트릿 – 지식과 자산의 복리효과]

– “궁합이 잘 맞네” KF-21과 FA-50 형제가 동남아와 중동을 사로잡은 이유 / 김민석 특파원 (2부)