EThere is a story in the financial markets that repeats itself with great regularity. Usually every one or two years, sometimes at shorter intervals. Significantly, most European fund managers then say that now is the time for local stocks. The subtext that always resonates is: American stocks, which have dominated the stock market for so many years, could now lose dominance. This story can be heard again now.
But no matter how often the turnaround was announced by interested parties, it rarely happened. Of course, there have always been phases in the history of the stock market in which the share prices of companies from Germany, France or Great Britain developed better than their American counterparts at times. This was often the case at moments of economic recovery, when the German Dax in particular benefited disproportionately because Germany’s corporations are heavily dependent on the development of the global economy.