DWS: Expects the Fed to start cutting interest rates in December, US stocks will adjust before the US election

DWS Global Chief Investment Officer Björn Jesch expects the Federal Reserve to start cutting interest rates in December this year, with a very gradual rate cut path. The European Central Bank and the Bank of England are also expected to cut interest rates. Despite the overvaluation of US stocks, as long as the "Big Seven" in the US stock market continue to deliver good earnings and research results, stock prices are expected to continue to rise. DWS has raised its stock price target based on higher earnings per share assumptions and expects a correction before the US presidential election. Artificial intelligence investments will continue to drive GDP and corporate earnings growth. DWS remains cautious on Chinese stocks but is optimistic about the gradual recovery of the Indian economy