Bank of America: Excess liquidity drives up various assets

According to a report by Golden Finance, credit analysts at Bank of America pointed out that the current excess liquidity is chasing various assets, which is driving the overall performance improvement of financial assets (including stocks and bonds). The interest rate cuts by central banks around the world have increased market liquidity and further boosted asset demand. At the beginning of the second half of 2025, gold, European stocks, as well as some sovereign bonds and credit assets, have performed well, mainly supported by strong demand from investors.