European Banks Expected to Outperform American Rivals by Highest Rate in a Decade
- European banks expected to gain 22% this year as US flatlines
- Credit concerns weigh on US banks while Europe seen as cheap
The financial district in Frankfurt.
Photographer: Alex Kraus/BloombergThis article is for subscribers only.
Europe’s undervalued banks are set for their best-ever year against American rivals after souring debts and regulatory concerns halted US lenders’ record-breaking end to 2023.
The KBW Bank Index, comprising the top 24 US banks, jumped 30% in November and December — its best final two months of a year according to data compiled by Bloomberg going back to 1991.