Fund managers bullish, and 'melt up' possibility cited if US and China forge deal

London

THE majority of global fund managers have become exceedingly bullish about the prospects of Wall Street and other global markets.

But the proviso is that the United States and China forge a trade deal and the US Federal Reserve continues to adopt an easy money policy. Also with unpredictable British elections and possible other geopolitical and economic events and surprises in the offing, markets are likely to be exceedingly volatile.

Some market strategists such as Ed Yardeni, president of Yardeni Research, contend that there is a possibility of a market "melt up" that usually takes place in the final stage of a bull market.

Others such as Gary Shilling, president of A Gary Shilling & Company, argue that the world is close to recession and investors should become bearish and begin to sell the US S&P 500 s…