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Bank of America survey: AI bubble becomes top concern for the first time, FED unlikely to raise interest rates in the short term

Bank of America survey: AI bubble becomes top concern for the first time, FED unlikely to raise interest rates in the short term

格隆汇格隆汇2026/07/15 04:06
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Glonghui July 15|According to the latest monthly fund survey released by Bank of America, the “Artificial Intelligence (AI) bubble” (45% of respondents) has surpassed the “second wave of inflation” (26%) to become the current biggest tail risk, marking a significant jump from 28% in last month’s survey. The Bank of America Global Fund Manager Survey (FMS) is one of the most influential monthly reports in the financial sector. The survey, conducted from July 2 to 9, interviewed 210 institutional fund managers overseeing $555 billion in assets.
Although most investors have not yet shorted AI-related assets, concerns about large-scale capital expenditure in AI triggering systemic credit events have risen significantly (48%), followed by private credit (34%). The report states that 82% of respondents believe that “going long on global semiconductors” is currently the most crowded trade, reaching a record high.
Regarding interest rates, the report indicates that investors generally expect the Federal Reserve to keep rates unchanged before the US midterm elections, mainly because inflation expectations shifted sharply in this survey. Specifically, the Bank of America survey shows that 83% of respondents do not expect the Fed to raise rates before the US midterm elections in November, while only 14% think it is possible to raise rates again before then.
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