(MS) 11 Stocks to benefit from ECB QE (AC,BMW,CAP,DPW,RXL,RYA,SKF,TFI,TUI)

(Full note attached)
The euro has already fallen by more than the average decline seen in other currencies around QE announcements.

Euro-area bond yields have already seen a larger fall than that experienced around any other QE announcement.

Our strategists’ analysis suggests 8% upside for EMU equities over the next 6M. This is based on the average performance of domestic stocks seen around prior QE announcements.

Cyclical sectors have traditionally performed best around prior QE announcements, especially Autos, Industrials, Chemicals and Media. Utilities, Banks, Real Estate and Food & Bev have consistently been relative underperformers.