The BofA monthly fundie survey says it all this month:
Bottom line: least bullish survey since Oct’20; FMS cash levels jump to 12-month high as global growth expectations turn negative 1st time since Apr’20 on inflation & China pessimism; allocation to bonds slumps to all-time low, to stocks still very high (Chart 1).
FMS on Macro: bearish…net 6% of investors say global growth to weaken next 12-months, 15% say profit growth to slow (margin outlook worst since May’20); predictions of “boom” drop to 61%, of “stagflation” up to 34%, as gap between“transitory” vs “permanent” inflation continues to narrow (58% vs 38% respectively).