Morgan Asset Management strategist: Oil price expected to plummet, will become a strong driving force for the stock market.

Karen Ward of J.P. Morgan said that the sharp drop in oil prices could help restore the breadth of the market rally that was abruptly interrupted by the Iran war, thus becoming a strong driving force for the stock market. As the EMEA chief market strategist at J.P. Morgan Asset Management, Ward said that with the emerging U.S.-Iran agreement unfreezing frozen assets and increasing global oil supply, oil prices could fall to $70 per barrel in the coming weeks. She added that the potential supply increase is not only coming from Iran, as OPEC's cohesion is weakening, and Gulf countries may want to cash in on their reserves at the current price. This will bring a "huge tailwind" to the stock market and could prompt central banks to cut interest rates. Previously, the European Central Bank raised rates by 25 basis points last week in response to inflation pressures.