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BoA forecast lower European stocks, see 20% downside for the STOXX 600 | Forexlive

A snippet from BoA with an outlook for European stocks.

Analysts at the bank see the European stock index, Stoxx 600 dropping 20% to 365 by the third quarter this year

Citing:

  • Stay negative on European equities
  • our base case remains a sharp weakening in growth, translating into rising risk premia and falling earnings expectations

A 20% drop is a huge forecast! Sentiment has swung more positive on Europe but not at BoA obviously.