The latest Bank of America Global Fund Manager Survey reveals that investors are the most underweight on the US dollar in two decades, with a net 31-32% of fund managers reducing their exposure. This bearish sentiment on the dollar coincides with a 9-10% year-to-date decline in the US Dollar Index. Despite this, global investor sentiment has rebounded to levels seen before the so-called "Liberation Day" and the "Goldilocks bull" phase, reflecting increased optimism about economic growth and corporate profits. Fund managers have significantly increased their risk appetite, marking the largest three-month surge on record, with cash allocations falling from 4.8% in April to 3.9% in July. This drop in cash holdings has triggered a "sell signal" for global equities, as cash levels below 4% historically indicate heightened market risk. Additionally, fund managers are notably increasing their investments in Europe's banking stocks. The survey includes responses from hundreds of fund managers overseeing hundreds of billions in assets, underscoring a broad shift toward risk assets amid cautious sentiment on the US dollar. Some analysts warn that despite the bullish momentum, ongoing tariff concerns could pose challenges ahead.