Bank of America report: Greed is harder to overcome than fear, S&P 500 is close to a sell signal

Despite the U.S. stock market reaching a historic high, trade concerns persist. Bank of America analyst Michael Hartnett stated that the S&P 500 index has risen to a historic high and is approaching a sell signal. He suggests that investors should start selling stocks once the benchmark index rises above 6,300 points (just 0.3% higher than last Thursday's closing price). Although the U.S. stock market has hit a historic high, trade worries remain. President Trump plans to send letters to trading partners, setting unilateral tariff rates. Bank of America analyst Michael Hartnett noted that the S&P 500 index has risen to a historic high and is near a sell signal. He recommends that investors begin selling stocks once the benchmark index rises above 6,300 points. He also reiterated that bubble risks will increase in the summer following the House's passage of a $3.4 trillion tax reduction fiscal plan. Last Thursday, the S&P 500 index closed at 6,279.35, with only 0.34% remaining to reach its target price. The CNN Fear & Greed Index has risen to 77.97, reaching a 16-month high. The report suggests that overbought conditions may continue, as greed is harder to overcome than fear. With President Trump relaxing tariff policies and the U.S. economy maintaining resilience, the U.S. stock market has soared to historic highs. This has sparked market speculation, with tech giants regaining enthusiasm and AI heat rising accordingly. However, trade issues remain a focal point. Trump stated that his government will begin sending letters to trading partners on Friday, setting unilateral tariff rates. Treasury Secretary Scott Bessent issued a final ultimatum: if no new agreement is reached, full restoration of the high tariffs announced in early April will occur on August 1. Asian stock markets opened slightly lower, adopting a cautious approach.