Wall St Week Ahead 'Uncharted' sell-off in U.S. stocks has investors wondering when the pain stops

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A week of heavy selling has brought U.S. stocks and bonds to fresh bear market lows, with many investors bracing for more pain ahead.

Michael Hartnett, chief investment strategist at BofA Global Research, believes high inflation will likely push U.S. Treasury yields as high as 5% over the next five months, exacerbating the selloff in both stocks and bonds.

Goldman Sachs, meanwhile, cut its year-end target for the S&P 500 by 16% to 3,600 points from 4,300 points. The Cboe Volatility Index, known as Wall Street's fear gauge, on Friday shot above 30, it's highest point since late June but below the 37 average level that has marked crescendos of selling in past market declines since 1990.of $6.9 billion during the week to Wednesday, while $7.8 billion was removed from equity funds and investors plowed $30.3 billion into cash, BofA said in a research note citing EPFR data.

 

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