Over the years we have repeatedly said that nowhere is Wall Street's schizophrenia and/or pathological lying on show more than in the monthly BofA Fund Manager's Survey (see "Peak Schizophrenia: Wall Street Turns Extremely Bullish Just As It Finds All Assets Record Overvalued"). And this schizophrenia and/or pathological lying was on full display in the latest Bank of America Fund Manager Survey (full report available to pro subscribers), released yesterday. But it is not just professional investors that are now a class covered under the DSM 5: so are pajama-clad, basement dwelling retail investors.
Let's start at the top.
Regular readers are familiar with our weekly review of Goldman's Prime Brokerage report, which shows with remarkable granularity what hedge funds do any given week, and as we pointed out yesterday, after several weeks of buying, hedge funds resumed selling and shorting stocks, and nowhere more so than in the (allegedly) beloved by everyone TMT space where "this week’s notional de-grossing in US TMT was the largest since July ’24 and ranks in the 98th percentile vs. the past five years."
