BofA Poll Shows US Stock Optimism at Highest Level Since 2021
- Investors are most overweight US stocks since Dec. 2021
- Most crowded trades are long Magnificent Seven, short China
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Optimism over Federal Reserve interest rate cuts has spurred investors to up their exposure to US stocks to the highest level in more than two years, according to Bank of America Corp.’s latest fund manager survey.
There is “record optimism on rate cuts” and 79% of survey respondents expect the global economy to experience either a soft or no landing in 2024, BofA’s team led by Michael Hartnett wrote in a note. Most respondents see stocks as the best way to play the Fed rate cutting cycle, the analysts said.