Bank of America records record pessimism on the US dollar (February survey)

A survey of fund managers controlling assets over $440,000,000,000+.

Coindesk: The number of bearish bets on the US dollar has reached a ten-year high, which could positively impact BTC.

▫️Record pessimism on the US dollar since 2012 – investors are reducing their holdings.

▫️87% of investors believe the dollar's share in global reserves will continue to decline – many are already reducing their "American" exposure or hedging currency risks.

▫️Investors are moving out of the US and reallocating into emerging markets (highest interest since 2021) and the Eurozone. US stocks, the tech sector, and the dollar are clear underperformers, with bets placed on energy, commodities, and everyday goods.

❗️Main fears are – "AI bubble" (25%), inflation (20%), and uncontrolled growth in US government bond yields (17%).

▫️The most "overloaded" trade for the second month in a row – long position in gold (50%).

▫️At the same time, risk appetite is at its peak: the overall sentiment indicator reached 8.2 out of 10 – the highest level since mid-2021.

▫️The "bulls and bears" indicator jumped to a maximum of 9.5 – according to BofA methodology, this is a sell signal (❗️).

▫️Cash holdings in portfolios increased from 3.2% to 3.4% – for the first time in 7 months, but the level remains very low.

▫️52% of managers expect the global economy to continue growing unabated – a record figure. Another 36% expect a real economic boom – the highest since February 2022.

▫️24% of respondents forecast double-digit growth in corporate profits in the next year – the strongest optimism since August 2021.

▫️Investments in stocks are at their highest since December 2024, in bonds – at their lowest since September 2022. The combined rate on stocks and commodities is at its highest since January 2022.