Market Sentiment and Trends

Current market sentiment shows a strong bullish outlook, characterized by record low cash levels among fund managers and a high allocation towards U.S. stocks. Recent data from Bank of America's fund manager survey reveals that investors are increasingly optimistic, with significant interest in small-cap stocks compared to large-cap stocks. The survey indicates that global growth expectations have turned positive for the first time in months, which parallels the bullish sentiment experienced in 2017 during a phase of global synchronized growth. This increasing risk appetite among investors suggests a potential for continued market rallies in the final months of the year.