“Much of the rally in this bear market is behind us,” warns Bank of America

(Boursier.com) — Investors rushed into equities at a pace not seen in eight months, on signs of slowing inflation in the United States. According to data from EPFR Global taken over by Bank of America, inflows into global equities reached $22.9 billion in the week ended November 16. But according to the teams of the American bank quoted by ‘Bloomberg’, the recent rally should soon run out of steam due to the risks weighing on corporate earnings and resolutely hawkish central banks.

Bank of America strategists led by Michael Hartnett don’t anticipate a Fed ‘pivot’ until June or July and say expecting policy easing from the Federal Reserve before then would be a ‘big mistake’ . Absent an earlier shift in the Fed’s approach, “much of the rally in this bear market is behind us.”

In Europe, the situation remains the same as the equity funds of the Old Continent suffered a 40th consecutive week of outflows, unheard of. Global bond funds recorded inflows of $4.2 billion during the week, while $3.7 billion came out of money market funds.