- Strong market recovery following “Liberation Day” in early April
- DAX benefits from stable global economy and investment momentum
- AI and interest rate cut expectations remain key drivers
- Valuations high, geopolitical risks call for caution
Frankfurt am Main – VÖB stock market experts expect international stock markets to remain largely stable in the coming months. After overcoming the turbulence surrounding the so-called “Liberation Day” in early April, global stock markets have continued their upward trend. The positive sentiment is being driven by robust corporate earnings, momentum in the field of artificial intelligence (AI), and the prospect of a gradual easing of monetary policy.
This assessment was presented by VÖB stock market experts Manfred Bucher (BayernLB), Joachim Schallmayer (DekaBank), Markus Reinwand (Helaba), and Frank Klumpp (LBBW) at a press conference in Frankfurt on Wednesday. They see the DAX ranging between around 25,000 and 27,000 points over the next twelve months.
Stable development in Europe – USA remains the driving force
In Europe, fiscal stimulus, investment programs and a gradual economic recovery are ensuring stability. Analysts estimate that the German economy is likely to pick up slightly in the coming year. In the US, strong corporate earnings, AI-driven structural change, and expected interest rate cuts are supporting the stock market, even though protectionist tendencies and high valuations may have a dampening effect. Additional opportunities are emerging in Asia, where valuations are more favorable by international standards.
Valuations are high, concentration risks increasing
After three years of rising prices, stock markets are trading at high valuation levels. Concentration on a few large tech companies creates dependencies but has so far been offset by high profits and investments. The VÖB experts do not see a trend reversal but expect periods of increased volatility if geopolitical tensions or trade policy pressures increase.
Outlook: Opportunities outweigh risks
Despite individual uncertainties, most experts believe that the positive baseline scenario will prevail. AI investments, moderate interest rates, and stable corporate profits point to a continuation of favorable market development. “The framework conditions remain solid, but a broadly diversified investment strategy remains crucial,” according to the experts.