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In Stark Reversal To Wall Street Bullishness, Bank of America Now Says To “Sell The Vaccine”

To say that this week’s Pfizer virus news was seen by markets as positive for risk assets would be an understatement: according to BofA’s Chief Investment Strategist Michael Hartnett, this week’s inflow into equities was an all-time record of $44.5 billion…

… which consisted of: 

  • US equities $32.5bn inflow = 2nd largest ever;
  • EM equities $6.5bn inflow = 5th largest ever;
  • Tech $2.0bn inflow = 12th largest ever;
  • Energy $1.5bn inflow = biggest since Apr’15;
  • Financials inflows ($1.3bn), US Treasury redemptions ($4.0bn) both largest in 6 months.

At the same time, another $10.2Bn went into bonds, $0.8bn into gold, with $17.8bn leaving money market (cash) funds, which is a testament to the groundbreaking nature of the news, which if actually results in a successful cure would indeed have tremendous consequences for markets as Monday’s 15-sigma rotation out of momentum and into value showed.

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