Bank of America’s Hartnett Expects Risk Aversion Into Mid-November

Bank of America strategist Michael Hartnett expects global risk aversion to continue into mid-November while concerns over AI financing, France’s bond market and the U.S. midterm elections remain unresolved.

Hartnett said the period could bring lower yields, falling stocks and a weaker U.S. dollar. He remains tactically cautious on risk assets until the financing risks, pressure in French bonds and election uncertainty ease.

His assessment has shifted since early October. At that time, Hartnett viewed peaks in the dollar and bond yields as conditions for risk appetite to return. By late October, AI credit risk and political uncertainty had gained more weight in his outlook.

The mid-November horizon extends Bank of America’s earlier risk-off position, with the three unresolved concerns shaping Hartnett’s current caution.