MILAN (Reuters) – Investors raised cash levels further in October as sentiment towards the economic outlook remained close to max bearishness, the latest global fund manager survey (FMS) by BofA showed on Tuesday, although expectations of a policy pivot grew.
“FMS screams macro capitulation, investor capitulation, start of policy capitulation,” BofA said in the survey.
The share of investors anticipating lower short-term rates in the next 12 months doubled to 28% in October from 14% in September and versus only 5% in March, it said.
BofA polled 371 panelists overseeing $1.1 trillion in assets between October 7 and October 13.
(Reporting by Danilo Masoni, editing by Alun John)
