Investors believe the Federal Reserve needs to cut interest rates significantly to ensure that a recession does not occur.

Odaily Odaily News According to a global survey by Bank of America, despite the turmoil in global financial markets, investors' optimism about US technology giants and expectations for a soft landing of the economy have not weakened. The survey surveyed 189 participants with a total of US$508 billion in assets, and the results showed that expectations for a soft landing rose to 76% from 68% in July. Despite this, participants' expectations for global growth have fallen sharply, and 47% of respondents now expect the economy to weaken in the next 12 months. A US recession has replaced geopolitical conflicts as the biggest tail risk. "The core optimism about a soft landing and US large-cap growth stocks has not changed," Bank of America strategist Michael Hartnett wrote in the report. It's just that investors now believe that the Fed needs to cut interest rates more significantly to ensure that there will be no recession." Earlier, technology stocks led the plunge in US stocks, plagued by overvaluation and concerns that the Fed would be too slow to cut interest rates to prevent a recession. (Jinshi)