Bank of America issues another warning: Global central banks easing + regulatory loosening, stock market bubble risk rising.

Zhitong Financial App learned that a strategist at Bank of America said that with the relaxation of monetary policy and financial regulation, the risk of a stock market bubble is rising. The team of strategists led by Michael Hartnett at Bank of America stated that as central banks in the United States, the United Kingdom, and Europe have been lowering borrowing costs, global policy rates have dropped from 4.8% to 4.4% over the past year. He predicts that this rate will further decrease to 3.9% in the next 12 months. At the same time, policymakers are considering regulatory reforms to increase the proportion of retail investors in the United States. Hartnett said, "The larger the scale of retail investors, the greater the liquidity, the greater the volatility, and the larger the bubble."