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      BofA's Michael Hartnett Predicts Continued Risk-Averse Investor Sentiment

      Michael Hartnett, a strategist at Bank of America (BofA), has indicated that investors are likely to maintain a risk-averse stance in the near future. This sentiment is expected to persist until the U.S. dollar reaches its peak and bond yields begin to decline from their highest levels in decades. The Bloomberg dollar index has seen a 3% increase since its low in September, as investors focus on rebuilding cash reserves and reducing leverage in their portfolios.

      Hartnett has suggested that investors should consider gradually adding bonds to their holdings. He cautioned, however, that further declines in small-cap stocks and banking shares could indicate a weakening in growth optimism. Such a trend may eventually exert downward pressure on technology stocks, which have been a significant driver of market performance in recent years.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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