BofA Fund Manager Survey: ‘Full Capitulation’ Into Deflation Trades, QE-Forever And MMT As Reflation Savior

Not surprisingly, participants in BofA's closely-watched Global Fund Manager survey turned less bullish in February compared to last month thanks (in part anyway) to the coronavirus. The title of the new edition is "New highs, fewer bulls". The bank's Michael Hartnett describes a "deflation theme" characterized by a "combo of tepid macro, COVID-19 virus [and] oil's plunge offset by QE-forever consensus". The result is what he calls "full capitulation into deflation assets". (BofA) As you c