It’s that time again. And no, I’m not talking about the run-up to Christmas, even if a few vanilla crescent cookies have already found their way onto our desks. I’m referring to something that doesn’t happen annually but does show up with a certain regularity every three to five years: the strong outperformance of the Austrian stock market and its sudden “rediscovery” by investors.
The stars have to align for that to happen. Our local market is highly cyclical and dominated by financials, industrials, and energy companies. These stocks tend to shine when the first signs of a brighter economic outlook appear. Interest rates fall, companies start investing again, and homebuilders try to secure financing. At the same time,…
