Investors should look toward European equities to outperform in 2014 as companies based there continue to see profit growth, despite relatively weaker overall economic progress, Goldman Sachs' Peter Oppenheimer told CNBC on Tuesday.
"We're pretty optimistic of equity markets still," Oppenheimer said on "Squawk on the Street." "Clearly there's been a big period of outperformers of equities relative to government bonds. We expect that to continue."
Oppenheimer, the chief European equity strategist for Goldman Sachs, said that European stocks that were "very cheap" and drove a significant amount of foreign influence into equity markets there should return to a "typical modest discount relative to the U.S."
He also appeared bullish on the euro—which has stabilized since the peak of the European debt crisis—and forecast the euro zone to have 1.1 percent year-over-year growth in 2014 that will lead to 1.5 percent growth in 2015.
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