Today's lone European equity call leans bearish: newly published research has trimmed its DAX target to 26,300 from 27,800 for June 2027.
The reasoning, according to the note, is a worsening macro backdrop for Europe. Higher energy costs are expected to weigh on demand and corporate earnings, while sticky inflation and the prospect of further ECB rate hikes add to the pressure on German and broader eurozone stocks.
What makes the call sharper is the contrast inside the same research: the same analysts simultaneously raised their S&P 500 target. The published view is clear — European equities are expected to materially lag US peers over the strategic horizon.
One data point worth flagging, not a house view: it's a single bearish voice on Europe today, so treat it as one camp of the debate rather than a settled consensus.