Equity bulls count on Fed-cycle math that worked For decades

Money managers are reluctant to invest in US stocks, with $2.7bn pulled from equity funds in the week to 26 April, following a rate hike by the Federal Reserve. Strategists and analysts have cited fears of a global recession and that higher interest rates will fuel turmoil in the banking sector. Others have taken note of the benign unemployment picture, noting that monetary policy has never eased borrowing costs when the jobless rate has been so low.