Deutsche Bank: U.S. has bigger upside, but also bigger risk, on AI

Group 1 - The US has a larger upside from AI but also faces bigger risks, with sharper sell-offs compared to Europe [1][2] - Europe is considered a safer investment environment, with Germany being the most favorable market due to a recent constitutional amendment shifting from austerity to fiscal expansion [3][4] - There is a significant opportunity in Germany as global investors have lost patience, leading to net outflows, while the government is expected to increase spending [5] Group 2 - The German market is expected to benefit from fiscal spending, particularly in midcap companies that have higher domestic exposure [6][7] - Companies involved in construction and infrastructure are likely to see substantial upside, as the government plans to invest heavily in these areas alongside defense spending [8]