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Fund managers were at their most bullish level in months ahead of last week’s selloff

1. Fund managers are very bullish, the highest sentiment since February. 2. Survey shows fund managers hold 3.8% cash, indicating strong bullishness. 3. 33% of managers cite an AI bubble as the top risk. 4. 57% believe private equity might cause a credit event. 5. Only 5% of managers see trade war as a high risk now.

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FAQ

Why Bearish?

Despite initial bullish sentiment, a 2.7% drop in S&P 500 reflects concerns about tariffs and systemic risks.

How important is it?

The high level of cash holdings and sentiment shift indicates potential volatility, influencing S&P 500 investment decisions.

Why Short Term?

The immediate impact of tariffs and credit events can swiftly affect market sentiment and prices.

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