Global strategists at J.P. Morgan said that strong profit margins, expanding profit growth, and a steady corporate balance sheet will support the stock market to continue to rise until the end of the year. The team led by Mislav Matejka wrote in a research report released on Monday that the recent stock market correction triggered by Brent crude oil breaking through $100 and higher bond yields is unlikely to interrupt this round of upward trend. According to strategists, J.P. Morgan suggests overfitting Eurozone and emerging market stocks; in terms of industry allocation, it is optimistic about the mining, capital goods and semiconductor sectors, and bearish on the media and software sectors, making it difficult for technology stocks to lead the market in the second half of the year. They expect that by December, the MSCG Eurozone Index will reach 420 points, with a potential increase of 9%; the European Stoxx 50 Index targets 6,800 points, the MSCI Europe Index 2,750 points, and the Stoxx 600 Index 680 points. Strategists expect short-term market fluctuations to continue, but believe that the safe-haven correction in the market is a good buying opportunity; corporate profit margins are still close to historic highs, and the driving force for profit growth is no longer limited to the field of artificial intelligence.

Global strategists at J.P. Morgan said that strong profit margins, expanding profit growth, and a steady corporate balance sheet will support the stock market to continue to rise until the end of the year. The team led by Mislav Matejka wrote in a research report released on Monday that the recent stock market correction triggered by Brent crude oil breaking through $100 and higher bond yields is unlikely to interrupt this round of upward trend. According to strategists, J.P. Morgan suggests overfitting Eurozone and emerging market stocks; in terms of industry allocation, it is optimistic about the mining, capital goods and semiconductor sectors, and bearish on the media and software sectors, making it difficult for technology stocks to lead the market in the second half of the year. They expect that by December, the MSCG Eurozone Index will reach 420 points, with a potential increase of 9%; the European Stoxx 50 Index targets 6,800 points, the MSCI Europe Index 2,750 points, and the Stoxx 600 Index 680 points. Strategists expect short-term market fluctuations to continue, but believe that the safe-haven correction in the market is a good buying opportunity; corporate profit margins are still close to historic highs, and the driving force for profit growth is no longer limited to the field of artificial intelligence.