BofA: The already overbought US stock market may remain overbought.

According to Golden Financial, in terms of capital flows, U.S. stock funds experienced the largest weekly net inflow in eight months. Data provided to First Financial by the London Stock Exchange (LSEG) shows that the net inflow of U.S. stock funds in the past week was $31.6 billion. Despite the imminent 90-day deadline for the so-called “reciprocal tariffs” and relatively limited progress in trade negotiations, U.S. stocks reached record highs driven by optimism in artificial intelligence and the easing prospects of The Federal Reserve (FED). In this hot market environment, Bank of America wants to cool down investors. The bank’s star strategist Michael Hartnett stated that if the S&P 500 index breaks through 6300 points in July, it could trigger a “sell signal.” “The already Overbought market may remain Overbought, as greed is harder to conquer than fear,” Hartnett wrote in the report. He described the market outlook as “bubble or bust,” believing that with the House passing the $3.4 trillion big and beautiful bill, the bubble risk in U.S. stocks will rise in the summer.