Bank of America strategists: The Jackson Hole meeting may trigger a stock market pullback, benefiting gold and Crypto Assets.

[Golden Finance] Strategists at U.S. Bank pointed out that the record rebound in the U.S. stock market presents an excellent opportunity for the Fed to take profits when it issues dovish signals at the Jackson Hole meeting. The team led by Michael Hartnett stated that investors are flocking to risk assets from stocks to Crypto Assets and corporate bonds, as they optimistically believe that the Fed will drop interest rates to support the weak labor market and alleviate the U.S. debt burden. Hartnett wrote in a report that if Fed Chairman Powell releases dovish statements at the Jackson Hole meeting, it could lead to a decline in the stock market, as investors "buy the rumor, sell the fact." He reiterated that he prefers international stocks over U.S. stocks, a view that has proven correct this year. Hartnett recently warned that the stock market could form a bubble. He believes that as investors seek to combat inflation and hedge against a weakening dollar, gold, commodities, Crypto Assets, and emerging market assets will be the biggest winners.