Sharon Bell, a senior European equity strategist at Goldman Sachs Group Inc., has pointed out that European equities could attract investors who are concerned about the concentration of investments in a few US technology stocks. She noted that US investors tend to invest heavily in five or six dominant companies, while European stocks provide a wider breadth of investment opportunities. European firms have reported robust earnings, particularly those supporting the AI sector, and have not faced aggregate earnings downgrades. Bell highlighted that a quick resolution to the ongoing conflict in the Middle East could benefit European stocks, especially those sensitive to energy prices. She warned that rising bond yields could threaten sectors like real estate but suggested that technology, utilities, and industrials might still perform well in a high-inflation environment. Additionally, she discussed the UK’s economic challenges, mentioning that the FTSE 100 is less affected due to its global earnings, while the FTSE 250 is more sensitive to domestic economic conditions. Valuations for UK domestic companies remain low due to these known issues.