1359 GMT - The earnings growth gap between U.S. and European companies started to close in the first quarter, Deutsche Bank equity and cross-asset strategists say in a research note. Earnings at Stoxx Europe 600 companies that published results so far this reporting season grew 11% compared with the prior quarter, while earnings declined for S&P 500 companies as they carried most of the tariff burden, according to Deutsche Bank. The consensus among analysts is that S&P 500 earnings will grow 7% this year following an 11% rise last year, against earnings growth of 2% for the Stoxx Europe 600 in 2025 recovering from a 1% contraction in 2024, Deutsche Bank says. "In our view, the gap could close completely this year," the strategists say. The Stoxx Europe 600 is up 0.8%.(adria.calatayud@wsj.com)
(END) Dow Jones Newswires
May 12, 2025 09:59 ET (13:59 GMT)
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