Key Facts

• European equities may struggle to keep pace with US and emerging market peers in the second half of the year due to falling oil prices.
• Falling oil prices threaten a key source of earnings growth for European companies, according to Nataliia Lipikhina at JPMorgan Chase & Co.
• Nataliia Lipikhina, a strategist at JPMorgan Chase & Co., provided this forecast regarding European equities.
• The underperformance of European equities is expected to occur despite the decline in oil prices, which might typically be seen as beneficial.
• The forecast was reported by Bloomberg, indicating market analysts' concerns about the earnings growth of European companies.