These charts ignores all the noise made by important European officials such as the Estonian cultural minister ; almost (basically all) the quantitve indicators indicate a very cheap European market. The numbers in the chart directly below are based on Morgan Stanley numbers for MSCI/Europe, and my own calculations. There are also charts on individual European countries; countries like France, Germany, and Norway seem to be super cheap. Overall it seems the market valuations are far cheaper in Europe than the US. I attached the most interesting of the charts concerning valuation. Click TWICE on each chart to enlarge.
The first chart is my own, the second two charts are the most important. Many "healthy" European countries are trading at extremely low valuations, likely due to undiscriminating selling from traders. The other chart shows the discount level of European stocks compared to the USA.