LONDON Oct 12 Credit Suisse equity strategists
said on Wednesday they expected sterling, which has been
hit by concerns over Brexit, to fall further against the euro
, and tipped buying UK stocks with earnings in Europe.
"The house view is GBPEUR 1.16 in 12 months' time. However,
we are slightly more bearish and would now expect GBPEUR to
trade down to 1.05 (previously 1.10), having turned bearish on
the pair a year ago," the Credit Suisse equity strategy team
said in a research note.
"Thus, continue to buy UK-listed Continental European
earnings," they added.
Among their favoured stocks in this regard were travel group
Thomas Cook, telecoms group Vodafone, home
improvement retailer Kingfisher and textile services
They also upgraded UK small caps to "benchmark" from
(Reporting by Sudip Kar-Gupta; Editing by Andrew Heavens)