TechFlow, May 20 — According to Jinshi Data, multiple Wall Street institutions have rarely reached a consensus forecast: as Europe's economic outlook improves, European equities are poised for their best annual performance relative to U.S. stocks in 20 years. A Bloomberg survey of 20 strategists expects the Stoxx Europe 600 Index to close near 554 by year-end, leaving room for further gains from current levels.
JPMorgan set the highest target at 580, while Citigroup forecasts a 4% rise to 570. JPMorgan’s projection implies that in 2025, the Stoxx 600 will outperform the S&P 500 by 25 percentage points—the widest margin on record—while Citigroup’s forecast marks the best since 2005. The latest BofA survey shows that the net proportion of global fund managers overweighting European stocks has reached 35%, while the net allocation to U.S. stocks has dropped to a two-year low.
