BofA Forecasts 15% Euro Equity Downside

BofA maintains underweight on European equities, citing 7% underperformance versus global peers since Iran war began.
Even a swift US‑Iran peace deal is unlikely to lift Europe, with Brent oil projected near $100/bbl in Q2‑Q3.
Expected natural gas prices could exceed €80/MWh, pushing Euro‑area private demand growth to about –1% and PMI down to 45.
BofA anticipates a 50‑basis‑point ECB rate hike this summer and forecasts a roughly 15% equity downside.