Bank of America: Oil prices soar, private credit sector faces undercurrents, market performance increasingly resembles 2008

Bank of America strategist Michael Hartnett stated that the surge in oil prices and increasing market concerns over private credit are making market performance increasingly resemble the period before the outbreak of the global financial crisis.

In the report, Hartnett mentioned that in July 2007, oil prices were around $70 per barrel, doubling to $140 by August 2008; meanwhile, the "subprime mortgage shock" began to brew, 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 risen more than 60% this year.

Hartnett noted, "The asset performance in 2026 is ominously approaching the price trends from mid-2007 to mid-2008."