European Blue-Chips Set for Strongest Earnings Growth Since 2022

LSEG data signals European blue-chips poised for Q1 earnings growth of +11.5% YoY, the strongest since Q4 2022, driven by energy profits surging +50.4% on higher oil prices tied to Middle East tensions. This upbeat earnings outlook caps a week that began with Eurostat confirming Eurozone Q1 GDP at +0.1% q/q, matching prelim but revising prior quarter down from +0.3% to +0.2%. Profit gains mask flat revenues (-0.4% forecast) and sector divides like real estate's -23.9% drop, with STOXX 600 up 4% YTD yet 3% shy of pre-war highs amid energy cost drags on sentiment.