Dow, S&P 500, Nasdaq-Futures Slip after a second rally with geopolitics and fed in the focus

Investors Uber Bullish Sentiment for US stocks screamed to a standstill last month.

In a global survey of 171 participants, the latest Bank of America survey showed the largest decline in investor assignment to US stocks.

A Bank of America strategist team led by Michael Hartnett described the move in the March survey as a “Bullencrash” with an investor appetite on US stocks that fell by 10% in the S&P 500 (^GSPC) last month last month.

The quick type of correction in the S&P 500 could be seen as a purchase sign. But as Hartnet's team emphasizes, the latest market movements are more of a rinsing from over bullies than an obvious catalyst for a contrary trade.

Hartnett wrote.

And as the Wall Street strategist has recently mentioned, part of the reason why the DIP moment is currently not obvious is back to what the stocks sent in the first place.

A diagram in the Bofa survey shows that 55% of the view that the greatest risk of markets is “triggered a trade war”. This was the highest conviction in a risk since the leadership of pandemic in April 2020.

But despite around 3% pop shares in the last two sessions, not much has changed in the trade war or fear of growth last week.

Mike Wilson, Chief Investment Officer by Morgan Stanley, told the customer, also on Sunday that “a tradable rally” in markets was possible. However, Wilson does not see a sustainable rally on new record highs “until the numerous growth wind winds are reversed” or resume the Fed.