Lates News

In a monthly survey, about one-third of the 17 strategists lowered their year-end targets for European stocks. Given the back and forth nature of US policies, professionals are becoming more cautious. UBS strategist Gerry Fowler said: "Our tariff model shows that most of the impact on Europe comes from net exports rather than consumption or other categories." He revised down the year-end target for the European Stoxx 600 index to 550 points. Barclays Bank strategist, led by Emmanuel Cau, made the biggest downward adjustment, reducing the index target from 580 points a month ago to 490 points. However, they believe the final outcome is very uncertain and Europe is relatively in a more favorable position with support from monetary and fiscal policies. Citigroup strategist, led by Beata Manthey, said that trading environment may continue to be volatile in the high uncertainty of macroeconomic/policy situations, "but if trade negotiations continue smoothly, we believe European stocks will still have 5-10% room for growth by the end of the year."