Europe's economic divergence widens as Seoul outpaces Saxony.

Europe's economic divergence widens as Seoul outpaces Saxony. The "Make Europe Great Again" trade that dominated macro discussions from January through April has lost momentum as regional disparities become increasingly apparent. While European policymakers hoped for broad-based recovery across the continent, performance gaps between economic centers reveal the structural challenges hindering unified growth. Diversification efforts face headwinds from persistent supply chain vulnerabilities, energy cost pressures, and uneven capital investment flows. Market participants initially bought into European recovery narratives, but reality has proven more complex. The difficulty in achieving balanced economic expansion across regions suggests selective positioning may outperform broad European exposure going forward.