DAX
📈 The DAX is up 15% year-to-date, and the IBEX is up almost 14%, outperforming the S&P 500.
🌍 This shift is attributed to investors perceiving that the worst may be over in Europe, with expectations of interest rate cuts and economic stimulus measures.
🇪🇺 Measures such as eliminating the debt ceiling in Germany and stimulus packages to reindustrialize the country are expected to benefit the European economy.
🆚 European stocks are trading at lower valuations compared to the S&P 500, with a P/E ratio of 16 versus 26, making them attractive to investors.
@Javierlinares:
“We have the DAX up 15% so far this year, and the IBEX is up almost 14%. It seems that these tariffs are backfiring on Trump. The markets do not serve to understand what is happening today, but to understand what the market wants to happen in the future. What the market seems to be telling us is that it believes that the worst has already happened in Europe, that the interest rate cuts are going to benefit the European economy, and that measures such as the elimination of the debt ceiling in Germany, or the stimulus that they are going to put in of billions and billions to reindustrialize the country, and probably the European continent, are going to be very good for European companies, and therefore for their economies.”
Watch the exact part of the video where Javier talks about DAX and IBEX here:
View the video on YouTube.
Read more articles by the world’s top 100 analysts on DAX at the following link. DAX stock.
