JP Morgan AM suggests strong earnings supporting European equity markets
Strong earnings growth among European companies will support expectations for equity markets, according to research published by JP Morgan Asset Management.
The manager’s research points to positive earnings growth, which will support stock market gains. What is less certain is the pace at which this growth will materialise.
David Lebovitz, global market strategist at JP Morgan Asset Management, said: “Whilst it’s important for investors to temper their expectations, given it’s unlikely that we’ll see repeat gains of more than 20% this year, we do not believe that this is reason enough for investors to completely rein in their European equity exposure going forward. We expect more organic earnings growth, as the recovery takes hold, which should support markets moving higher.”
To read the full research report click here: [asset_library_tag 7858,A recipe for stronger earnings]