Fund Managers Pessimistic Over Global Growth Expectation, Survey Suggests: Reuters

As per a monthly survey by investment bank BofA Securities, optimism among fund managers over global economic growth has hit an all-time low. Concerns regarding possible stagflation have risen to the highest since August 2008.
In the survey, 71% of survey respondents were pessimistic regarding the expectations for global growth in the coming months, the most since the survey records began in the early 1990s.
The European edition of the survey found investors continuing to cut their European growth projections.
81% of survey respondents expect the region's economy to weaken over the coming year, compared with 69% in the March edition.
Though fund manager holdings of cash, an indicator of investor caution, eased to 5.5% in the April edition of the survey from 5.9% in the previous month, prospects of a global recession remain the top "tail risk" for global markets, the survey found.
Allocations to commodities jumped to a record 38%.
Other "long" positions were in resources stocks and healthcare, while "short" bets were in bonds and cyclical stocks, whose performance is most linked to economic growth, BofA said.
Global profit expectations deteriorated to their weakest levels since March 2020, BofA said.