The S&P 500 has delivered double-digit gains in 2026, and the rally has outlasted every warning thrown at it so far. One of Wall Street's most closely tracked positioning gauges is now flashing a different signal.
Bank of America's proprietary Bull & Bear Indicator has remained in sell-signal territory since May 2026, with July weekly readings ranging from 9.5 to 9.6 on a 10-point scale, Business Insider showed.
Those are the highest levels seen since 2021, driven by extreme positioning across hedge funds, fund managers, equity flows, and credit-market technicals.
"Extreme bull positioning says reduce risk exposure," Bank of America chief investment strategist Michael Hartnett said in a client note, Business Insider reported.
The signal does not guarantee a decline, and prior sell triggers have sometimes fizzled without producing meaningful losses. But the buyer pool has thinned enough that even modest earnings or policy disappointment can spark outsized selling pressure.
#insider #extreme #sell
Bank of America's proprietary Bull & Bear Indicator has remained in sell-signal territory since May 2026, with July weekly readings ranging from 9.5 to 9.6 on a 10-point scale, Business Insider showed.
Those are the highest levels seen since 2021, driven by extreme positioning across hedge funds, fund managers, equity flows, and credit-market technicals.
"Extreme bull positioning says reduce risk exposure," Bank of America chief investment strategist Michael Hartnett said in a client note, Business Insider reported.
The signal does not guarantee a decline, and prior sell triggers have sometimes fizzled without producing meaningful losses. But the buyer pool has thinned enough that even modest earnings or policy disappointment can spark outsized selling pressure.
#insider #extreme #sell
8 days ago
