European Luxuries Seen Benefiting from Potential China Stimulus

Dow Jones07-24 19:17

1115 GMT - European luxury stocks would benefit from efforts by Chinese authorities to stimulate domestic growth, Bank of America analysts write. Weak demand from Chinese consumers has weighed on luxury stocks so far this year. But policy easing could come as soon as late July, Bank of America economists say, in turn boosting luxuries given their high exposure to the region. "Our macro projections point to 15% further outperformance for luxury goods over the coming months," the analysts say. Bank of America raises its outlook for the luxury sector to overweight. A basket of European luxury stocks is down close to 17% so far this year, and has fallen over 6% in the last five trading days.(josephmichael.stonor@wsj.com)

(END) Dow Jones Newswires

July 24, 2026 07:17 ET (11:17 GMT)

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