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Bank of America urges caution despite market relief

The bank's strategists recommend avoiding risk assets until after midterm elections and the next Federal Reserve meeting.

Bank of America's strategists are advising investors to maintain a defensive stance despite recent improvements in financial markets. Although October's market correction has eased pressure on bond markets and revived stocks sensitive to interest rate changes, the bank recommends staying risk-averse for now.

The caution extends until after the midterm elections and the next Federal Reserve meeting, according to the strategists' guidance.