Stock market correction of 5%-10% ‘likely before year end’; US inflation expectations rise – business live | Business


Many investors are now expecting an equity market correction of up to 10% by the end of the year — as caution over the bull market rally growth.

Deutsche Bank’s latest survey of over 550 market professionals across the world, published this morning, has found that 58% expect a correction of between 5% and 10% by the end of 2021.

One in ten are bracing for a steeper selloff, while nearly a third think the markets will reach 2022 without a tumble.

Deutsche Bank’s September survey of investors

Deutsche Bank’s September survey of investors Photograph: Deutsche Bank

2021 has been a very strong year for the markets, with America’s S&P 500 up over 18% since the start of January, and Europe Stoxx 600 gaining 17%. The UK’s FTSE 100 has lagged, but is still up over 9%.

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