Barclays warns that persistent oil supply constraints and higher prices limit further equity market upside despite recent gains.
Europe faces worsening outlook as Germany cuts 2026 GDP growth forecast to 0.5% and EU PMI falls to lowest since Nov 2024.
AI-driven memory and semiconductor stocks boost US and Asian indices, while Barclays moves underweight Europe versus the US.
Upcoming earnings from Microsoft, Meta, Alphabet, Amazon and Apple will test AI capex optimism and earnings uplift expectations.