BofA-The Flow Show Anything But Bonds-240404

AccessibleversionTheFlowShowAnythingButBondsScoresontheDoors:crypto50.4%,oil20.9%,commodities11.8%,gold10.5%,stocks04April20246.9%,USdollar2.8%,cash1.4%,HYbonds1.4%,IGbonds-0.8%,govtbonds-3.3%.InvestmentStrategyZeitgeist:“Thisisthemomentinrallywhenbearsstarttotalkabouttheirlongs.”Abull.GlobalZeitgeist:“It’sdifferentthistime…italwaysisatnewhighs.”Abear.Zeitgeist:“Theyjustjackedupmyrent20%...I’llhavetomoveagain.”NYCcolleague.TheBiggestPicture:symbioticlinkbetweengold&realratesseveredpast18months;gold>$2200/oz=realratesof-2%not+2%(Chart2);investorshedgingriskFedcutsasCPIaccelerates+endgameofFedICC/YCC/QEtobackstopUSgovernmentspending.ThePriceisRight:remainsan“ABB”(AnythingButBonds)bullmarket…buyers’strikeMichaelHartnettingovernmentbondspotentfactorbehind40-yearequityhighinJapanesestocks,20-InvestmentStrategistyearhighinEurope,newhighsinUS,outperformingcommodities&crypto;WallStBofAS(valueoffinancialassets)backto6xthesizeofMainSt(GDP–Chart3).+16468551508michael.hartnett@bofa.comTaleoftheTape:2020seraofhigherinflationdrivenbyfiscalexcess,deglobalization,war(noteRedSeavolumesstill60%belowNov'23levels-Chart8);thatsaid,biggestElyasGalou>>Q2tacticalrisktoconsensus“ABB”bull=declineinUSpayrolls(whencostoflivingInvestmentStrategisthigh)signallingFedneeds(notjustwants)tocutrates.BofASE(France)+33187700087Ch...