JPMorgan Says Earnings Trump Bond Yields for European Stocks
Equity Markets Shifts Focus to Earnings
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Healthy corporate earnings can help shield European stock valuations from the negative impact of rising bond yields, according to JPMorgan Chase & Co.
With more than half of Stoxx Europe 600 Index companies having reported fourth-quarter earnings, 54 percent have beaten estimates, according to the bank. That translates into year-on-year growth of 17 percent, it says, the strongest since 2017’s first quarter thus far.