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Euronews
Euronews
Piero Cingari

European banks' best year on record: What's the outlook for 2026?

European Union Euro Europe Goldman Sachs

European bank equities have delivered a historic rally in 2025, marking one of the strongest years on record for the sector and signalling a decisive shift in investor sentiment after more than a decade of underperformance.

The EURO STOXX Banks Index is up 76% year-to-date as of 12 December, putting it firmly on course for its best annual performance ever, surpassing even the 74% surge recorded in 1997.

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