17:50 - 1.12.2025

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December 1, Fineko/abc.az. Among the Top 20 stock markets in the world this year, every second index is a European index. This region has achieved this result only three times since the creation of the eurozone (in 2004, 2015 and 2023).

The high indicator reflects the restoration of investor confidence in Europe. A month before the end of trading in 2025, the markets of Hungary, Slovenia and the Czech Republic grew by more than 60% in dollar terms, becoming one of the 10 largest markets in the world. Spain, Poland and Austria lag slightly behind, while Germany, one of the region's largest markets, grew by 20% in euros and by 34% in dollars.

ABC.AZ reports that some investors believe that Europe's prospects will be even more positive. Inflation is lower here than in the US, which allows the European Central Bank (ECB) to cut interest rates faster than the U.S. Federal Reserve (FRS). Germany is preparing to remove the "fiscal brake", and, according to forecasts, corporate profits may recover.

The latest monthly survey by Bank of America shows that investors now occupy an average "overweight" position for European stocks, and an "underweight" position for American stocks.

"At the beginning of the year, investors were extremely skeptical about a possible rally in Europe," said Nick Locks, head of international equities at Bank of America, adding that the potential for outpacing European growth remains next year.