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BofA Poll Shows Investors Doubt This Stock Market Rally Can Last

  • Bond allocation surged to highest since 2009 crisis: BofA poll
  • Only 10% of investors expect economic recovery to be V-shaped

Global stocks may be up almost 30% from their March lows, but most fund managers in a Bank of America Corp. survey remain skeptical that the gains can last and aren’t expecting a quick economic recovery from the coronavirus crisis.

In the May 7-14 poll, 68% of investors called the rebound in equities a bear-market rally, or a short-term and fast bounce in stocks before they fall to new lows. Only a quarter believe that equities have entered a new bull market. Just 10% of the surveyed fund managers expect the economic recovery to be V-shaped, or quick and sharp, in contrast with 75% who predict a U- or W-shaped rebound that will take longer.