Investors are advised against bullish tactics on the European market
Experts warn of a very limited prospects of the European markets. If the investors missed out on the last rally, they should hold back until the end of the year.
Bloomberg News conducted a poll concerning the future of the market among the strategists. According to the experts, Euro STOXX 50 is going to gain only 3.8% from May 19 level in 2020. STOXX 600 is expected to grow slightly higher - 5.6%.
European shares recovered after the March crash in April and then lost positive traction in May - more or less same as stocks in other regions. While economic reopenings and vaccine tests are giving the traders causes for optimsm, yet the negative readings and forecasts are undermining the positive factors.
ING Groep is especially pessimistic. Their analysts claim, that DAX is going to lose 0.5% and FTSE is going to drop 9.2%.
Some forecasts, however, are much more bullish. Deutsche Bank expects STOXX 600 to gain 29% by the end of the year.