Recently, the United States has released a new key indicator - Bank of America bull and bear index reading.。The latest reading of this indicator is 1.9, on behalf of the market has been in an "extremely bearish" state。In general, when the reading falls below 2.At 0, it means that the risk asset is already in an "oversold" state, and the rebound is bright ahead.。Historically, when this signal is triggered, global markets are likely to come out of a wave in the next three months, with a median upside of 5.4%, the upside for global stocks is 7.6%, while the upside for investment-grade bonds can reach a staggering 9.1%。This bull-bear index reading, compiled by Bank of America, combines a number of factors in the market to determine the overall emotional state of the U.S. stock market, including stock valuations, capital flows, and some popular technical indicators, and is fairly comprehensive.。The data plunge is due to the fact that equity markets have seen massive outflows for the second week in a row, with $4.6 billion outflows from developed markets and $600 million outflows from emerging markets.。The outflow of funds from the stock market represents more and more investors leaving the market, and the stock market is experiencing a wave of selling。As for the timing of the stock market rally, Bank of America's team believes the opportunity for a tactical rally will come at the end of the year.。In addition to the current overly pessimistic stock market, the team gave three reasons for the "oversold" of stocks, emerging market debt risk, high bond yields, and outflows from global equity funds.。The team said that at present, three-quarters of the "trading rules" have given a reverse buy signal.。