BofA: The Greatest Risk Over The Next 3 Years Is An Acceleration Of Global Populism | WHAT REALLY HAPPENED

BofA: The Greatest Risk Over The Next 3 Years Is An Acceleration Of Global Populism

BofA was confident that the bullish case will, sooner or later, push enough investors into the stock market because of, first and foremost, policy as the global central bank tightening cycle is now ending (rolling 6-month rate hike tally peaked at 33 hikes in Oct'18, now 23), while the Fed panic over a global "credit event" worked, noting that the epicenter of pain, levered loans, are now back near all time highs.

Additionally, there has been a clear shift in if not investor then algo "psychology" because what was until recently a "sell the rip" mentality, has once again mutated into "buy the dip": according to Hartnett, in 2018 correct strategy was "sell-the-rip", something which Morgan Stanley correctly observed first last October, however that has now changed.

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