BofA Survey Shows Rising Soft Landing Bets, Rush to Big Tech
- Poll shows 68% of fund managers see slowdown, no recession
- AI seen increasing tech companies’ profits over next two years
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Investors are increasingly betting on a soft landing for the global economy, while big technology stocks are getting even more crowded on the expected boon to profits from artificial intelligence.
Those are key findings of Bank of America Corp.’s July global survey, conducted in the week through July 13. The firm found that 68% of surveyed fund managers expect an economic slowdown without a recession, while corporate profit expectations are now the least pessimistic since February 2022. In another sign of improving risk sentiment, investors are underweight global stocks by the smallest amount so far this year, according to BofA.