A BofA survey showed fund managers were more optimistic after lower energy prices and easing inflation. According to Sina Finance, the research team led by Paulina Strzelinska and Andreas Bruckner wrote that 97% of respondents expect Europe to avoid a recession over the next 12 months, the highest share since 2007.

Net 35% of respondents expect European economic growth to accelerate in the coming months. Market sentiment remained firm, with net 53% saying European stocks will rise over the next one to three months.

The survey also showed investors still expect European equities to have 5.7% upside over the next year. Forty-seven percent of respondents expect European stocks to outperform U.S. stocks over the next 12 months, with earnings upgrades cited as the main driver of the rally.