Bank of America Sell Signal Rings Louder on Record Equity Inflow
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The fastest-ever rotation into stocks from Treasuries and high-yield debt has strengthened Bank of America Merrill Lynch’s contrarian sell signal, as risk-hungry investors shrug off the global equity selloff.
Stock funds completed another “massive” week of inflows following a record influx last Friday as strong earnings reports offset concerns over a jump in U.S. government bond yields. That has pushed BofA’s “Bull & Bear” indicator deeper into negative territory after it dropped to the lowest level since 2013 last week, according to a report from the bank.