HSBC's outlook for European stocks in H2 2024 focuses on earnings growth among mixed data

From Investing.com: 2024-08-04 04:31:02

HSBC outlook for European stocks in H2 2024 focuses on earnings growth amid mixed economic data. Forecast indicates European equities underperformed global indices in H1 2024. Interest rates expected to decrease, impacting market returns. Cyclical sectors like Real Estate may benefit from rate cuts, while Financials could suffer from economic stalling. Valuations in Europe have re-rated, but EPS growth estimates have declined. HSBC recommends overweighting Healthcare and Industrials, favors UK market, advises against expecting strong H2 performance based on H1 results. France is underweight due to political uncertainty. Maintaining positive price momentum hinges on improved earnings growth for European equities.



Read more at Investing.com: HSBC is out with its updated H2 outlook for European stocks By Investing.com