BofA’s Raedler Sees European Stocks Slumping More Than 10%

European equities risk sinking more than 10% in the coming months as investors are likely underestimating the threat of a weaker economy, according to Bank of America Corp. strategists.

The team led by Sebastian Raedler expects the Stoxx 600 to slide to 490 points by the first quarter of 2026, implying a slump of 14% from current levels.