US Bank: Market Sentiment Still "Extremely Bullish," AI Bubble Emerges as Investors' Top Tail Risk

BlockBeats News, February 17th. The monthly fund manager survey released by Bank of America on Tuesday showed that market sentiment remains "extremely optimistic," but further asset gains seem increasingly difficult, with global investors growing more concerned about corporate overinvestment.

According to the survey covering 162 fund managers overseeing $440 billion in assets, the cash balance proportion rose from January's record low of 3.2% to 3.4%, while investors remain heavily overweight in commodities and equities, and significantly underweight in bonds. Macro optimism has further improved, with the proportion expecting a "boom" in the global economy reaching the highest level since February 2022, and the proportion expecting profit growth of over 10% being the strongest since 2021.

However, a record proportion of respondents stated that corporate spending is too aggressive, and chief investment officers are now more inclined to strengthen balance sheets rather than increase capital expenditures. The AI bubble has once again become investors' most concerning tail risk.