Even Most Bearish Calls on European Stocks Are Still Bullish

  • Strategists predict 23 percent rebound for Stoxx 600 this year
  • Earnings, central banks, oil recovery seen boosting sentiment

A bear and a bull statue stand as pedestrians pass outside the Frankfurt Stock Exchange in Frankfurt.

Photographer: Krisztian Bocsi/Bloomberg
Lock
This article is for subscribers only.

Investors may be yanking out moneyBloomberg Terminal from European stocks at the fastest pace in months, but strategists are standing by their optimistic calls.

After a rout spanning all assets that last week dragged global equities into a bear market, the average Bloomberg TerminalforecastBloomberg Terminal now sees the European benchmark closing the year with a 23 percent rally from Friday’s close. Take one of the biggest bulls on the region, UBS Group AG -- which even after cutting its year-end target projects a 28 percent rally.