Bank of America: The already overbought U.S. stock market may continue to be overbought "
Internet reports that in terms of capital flow, U.S. equity funds ushered in the largest weekly net inflow of funds in eight months. Data provided by the London Stock Exchange (LSEG) to First Financial showed that U.S. stock funds had net inflows of US$31.6 billion in the past week. Although the 90-day deadline for so-called "reciprocal tariffs" is approaching and progress in trade negotiations is relatively limited, U.S. stocks hit record highs driven by artificial intelligence optimism and the prospect of Fed easing. In the hot market environment, Bank of America wants to cool down investors. Michael Hartnett, the bank's star strategist, said if the S & P 500 breaks through 6300 in July, it could trigger a "sell signal." "Markets that are already overbought may remain overbought because greed is harder to conquer than fear," Hartnett wrote in the report. He described the market outlook as "bubble or bust" and believed that the risk of a bubble in U.S. stocks will rise over the summer as the House passes a $3.4 trillion big and beautiful bill.
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