Wall Street strategists predict European stocks will have their strongest performance in 20 years, potentially outperforming U.S. stocks

Several Wall Street institutions have reached a rare consensus, predicting that with the improvement of Europe's economic outlook, European stock markets will experience their best annual performance relative to U.S. stocks in 20 years. According to a Bloomberg survey of 20 strategists, the Stoxx Europe 600 Index is expected to close the year at around 554 points, indicating room for growth from current levels. JPMorgan has set the highest target at 580 points, while Citigroup predicts the index will rise 4% to 570 points. JPMorgan's forecast shows that by 2025, the Stoxx 600 Index will outperform the S&P 500 Index by 25 percentage points, setting a historical record, while Citibank's prediction is the best since 2005. The latest survey from Bank of America shows that the net proportion of global fund managers overweighting European stocks has reached 35%, while the net allocation to U.S. stocks has fallen to its lowest level in two years. (Jin10)