Bank of America strategist: The S&P 500 shows no signs of a bubble

The rapid rise in the U.S. stock market since October last year has triggered a unanimous call on Wall Street to compare it to the boom-bust cycle of the late 1990s, but Bank of America strategists said that the S&P 500 index "shows no signs of a bubble". The current U.S. stock market does not show the characteristics of previous market bubbles, including the gap between price and intrinsic value, as well as the heavy use of leverage that reflects speculation, the team led by Savita Subramanian said in a note to clients on Monday.

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