Embracing Disruption

European Equities Outlook 2024

Jörg De Vries-Hippen

09/02/2024

The past year turned out differently to how many predicted. Indeed, 2023 was a good year for stocks, with double-digit performance for most segments – incorrect forecasts regarding inflation were largely responsible for this, while geopolitical events had a less significant impact than expected. Energy prices have returned to late 2021 levels and, while central banks are treating falling inflation cautiously, if this trend is confirmed then a reversal in interest rate policy will surely follow. However, money supply (in terms of central bank balance sheets) remains an issue and this may well be used as an argument to delay rate cuts.

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