LONDON May 12 Credit Suisse downgraded Spanish
equities to 'underperform' on Friday recommending investors lock
in profits as strong economic data and corporate earnings
Spain's blue-chip stocks are the top performers
across major European country indices this year, up 16.1 percent
against a 9.1 percent gain for the pan-European STOXX 600
"Economic fundamentals remain robust but are not
accelerating away from peers at the same pace" Credit Suisse
head of European strategy Pierre Bose said.
"Both sectors and the 'national champion' stocks within
those sectors have performed strongly, in that light we think
clients can afford to take profits on Spanish equities after
strong performance year to date."
The bank also has an underperform view on Italian equities,
together pointing to a preference for stocks in core markets
over the periphery after a strong rally in the latter over the
Italy's FTSE MIB is up 12.5 percent year-to-date.
Credit Suisse also upgraded Norway to "outperform", citing a
positive view on the energy sector along with recent
underperformance, and earnings revisions which have kept pace
with other countries.
(Reporting by Helen Reid, Editing by Vikram Subhedar)