Morgan Stanley notes EU auto suppliers outperformed after energy crises, with the STOXX:SXAP index up 6% on US‑Iran ceasefire news.
Tire makers also rebounded strongly, showing defensive traits due to replacement demand, unlike the Russia‑Ukraine crisis where they lagged.
Morgan Stanley warns that initial market reactions to energy shocks may understate later impacts if oil prices stay elevated.
Supplier stocks, typically underperforming during crises, become the biggest beneficiaries once the shock resolves, according to the analysis.