Analysis-Boom in European Bank Earnings Hints at a Rally With Legs

Europe's banks, which enjoyed a stellar fourth-quarter that yielded

are still looking cheap and could have more room to rally

Economic data hasn't been as bad as many had feared

The euro zone is expected to stagnate rather than contract

STOXX 600 financials are expected to have had the highest earnings

responding with a flurry of upgrades to the sector as well as inflows

The STOXX banks index has climbed almost 20% so far in 2023 to five-year highs