Economic Situation & strategy
December 20, 2021

Outlook 2022 (III): God Rest Ye Merry Stock Investors

Stock markets are going through a rough patch on the road with current potholes being the pandemic including the Omicron variant gloomily looming or already wreaking socioeconomic and political havoc. Despite this monkey wrench, we are confidently looking forward to 2022 and expect stock prices to continue advancing. The reason for our optimistic mindset is the sound condition of the global economy. After this year’s strong recovery, we expect economic growth to remain above average in 2022. We expect companies to grow their sales and earnings thanks to these excellent economic prospects. Analysts expect DAX companies to show about four percent earnings growth next year, which we consider a low estimate in light of the expected economic upswing. We expect the DAX to reach about 18.000 index points by the end of 2022.