13-Oct-2026 16:27:56
BANK OF AMERICA: US TREASURY YIELDS MAY NEED TO HIT 6% TO DERAIL STOCK MARKET RALLY
• Bank of America's latest fund manager survey suggests US 10-year Treasury yields may need to approach 6% before investors significantly shift allocations from equities to bonds. • Around 76% of surveyed fund managers expect the US Federal Reserve to keep interest rates unchanged in October. • Technology sector exposure has reached its highest level since August 2020. • Consumer discretionary sector exposure has fallen to its lowest level since July 2008. • Long semiconductor stocks remain the most crowded trade among surveyed investors. • Biggest perceived market risks include a disorderly surge in bond yields and a potential AI-related market bubble. • Investors are reducing exposure to banks and US equities while increasing allocations to bonds, utilities, Japan and the UK.
BANK OF INDIA