How EU-US trade deal validates recent rally

After months of uncertainty, the European Union and the United States have reached a trade deal, which will set a baseline tariff rate of 15% for imports. Investors had remained confident despite the imposing deadline, with markets rallying following April’s losses. Companies are better placed than they were then, having had time to plan if tariffs did come into play. Despite a strong rally, the European equity remains undervalued, unlike its US counterpart. However, this could change if there are future geopolitical shocks, but investors remain bullish… for now. Will tariffs cause long-term...