Is Europe's 'fiscal impulse' enough to help boost earnings growth?

GAM's Niall Gallagher explains why he believes markets are only half way through the European recovery, with the next phase likely to focus on earnings growth.

The conditions for earnings growth are now firmly in place and the structural improvements in European economies are very real. Austerity is coming to an end and Europe is benefitting from a positive 'fiscal impulse', which will support economic growth. The fall in the oil price is also a major positive. Most European countries are net oil importers and this will have a positive trade impact on current accounts.   The European banking sector's problems are largely fixed. There will still be a move towards higher capital standards but the rate of capital accumulation will decline, and ban...