'Long tech' seen as most crowded trade - BofA April fund manager survey
The latest from BofA's fund manager survey
- 'Long tech' most crowded trade at 32% (but down significantly from 80% in Sept)
- Taper tantrum, inflation, higher taxes seen as bigger risks than COVID-19
- 66% of fund managers think US equity market is in late-stage bull market
- 57% of fund managers expect a rise in short-term rates in the next 12 months
Putting aside the equity greed for a moment, there is a noticeable shift in sentiment towards what are the key risks to the market right now and they are largely centered around inflation and the Fed - with Biden's tax hike also among the mix.
That reflects the market landscape at the moment, with already plenty of watchful eyes being put on the US CPI data release later today.
Going back to equities, this is a pretty damning chart on the power of easy money: