Investors No Longer ‘Apocalyptically’ Bearish, BofA Survey Shows
- Global growth, profit expectations rise from all-time lows
- Bank strategists still ‘patient bears,’ eye profit taking
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Investors are pulling back from their record pessimism about stocks amid speculation that inflation has peaked, marking a break in the “apocalyptically bearish” sentiment that had been gripping markets, Bank of America Corp.’s monthly fund manager survey showed.
Global growth and profit expectations rebounded from all-time lows hit last month, while 88% of investors participating in the survey now expect lower inflation in the next 12 months, strategists led by Michael Hartnett wrote in a note Tuesday. Investor allocation to stocks also rose from “dire” lows hit in July, according to the global survey, which included 250 participants with $752 billion under management in the week through Aug. 11.