Bank of America: Oil prices surge, dark currents in private credit emerge, market performance increasingly resembles 2008

U.S. bank strategist Michael Hartnett stated that the surge in oil prices and growing concerns over private credit are making the market performance increasingly resemble the period before the global financial crisis erupted. Hartnett mentioned in the report that in July 2007, oil prices were about $70 per barrel, doubling to $140 by August 2008; at the same time, the “subprime loan turbulence” began to ferment, with institutions like Northern Rock and Bear Stearns falling into turmoil one after another. Since the outbreak of the Iran war on February 28, oil prices have increased by more than 60% this year. Hartnett said, “Asset performance in 2026 is ominously approaching the price trends from mid-2007 to mid-2008.”