JP Morgan Asset Management's EMEA chief market strategist Karen Ward said a
sharp fall in oil could power equities by reigniting the rotation halted by the
Iran conflict. As a U.S.-Iran agreement takes shape, she said oil could fall to
$70/bbl in the coming weeks. Supply upside may come not only from Iran but from
weakening OPEC cohesion and Gulf producers monetizing reserves, creating a
material tailwind for stocks and potentially prompting central banks to cut
rates. Ward added the sector- and regional-rotation seen last year was
interrupted on Feb. 27 but is now re-emerging as the shock fades.
