Bank of America: The global dominance of U.S. stocks is weakening, and it is recommended to go long on Chinese stocks

Odaily Planet Daily News Bank of America strategists expect the U.S. stock market's lead to continue to fade after it stopped rising in early 2025. Strategists including Michael Hartnett pointed out that so far this year, stock markets such as Brazil, Germany, the United Kingdom, China and Canada have all had higher returns than the S&P 500 because the so-called seven major technology companies have failed to provide the impetus they have long provided. They recommend going long on Chinese stocks because they do not expect the trade and technology wars to escalate. In terms of bonds, Bank of America expects U.S. Treasury yields to fall below 4% as U.S. President Trump hopes to address government spending and stop the debt spiral, while also hoping that Congress will approve his tax cut plan. (Jinshi)