[JPMorgan Chase: After consumer confidence bottoms out, the European luxury goods sector is turning a corner] September 2nd, holding luxury goods stocks has almost become a contrarian investment, but as consumer confidence and corporate earnings growth begin to bottom out, this sector may usher in a turnaround. "Interestingly, when consumer confidence is low, such as it has been recently, consumer stocks tend to outperform over the next 12 months," J.P. Morgan strategists said. Luxury goods stocks tend to be among the best-performing sectors in such situations, they noted. "Overall, consumer cyclical stocks are still in the center of the storm, with frequent profit warnings and cautious performance guidance, but future performance may improve." JP Morgan strategists said that after the University of Michigan consumer confidence index bottomed out, the European luxury goods sector was able to outperform the broader market by 9% to 12% on average. Based on the potential future wealth effects, they are currently overweight the luxury sector globally.