--- title: "Nvidia, AMD Bulls Beware — Wall Street's Most Crowded Trade Just Flashed A Sell Warning" type: "News" locale: "en" url: "https://longbridge.com/en/news/286925292.md" description: "Bank of America's May Global Fund Manager Survey reveals that 73% of fund managers now consider 'long global semiconductors' the most crowded trade, a significant increase from 24% in April. This surge raises concerns for semiconductor bulls like Nvidia and AMD. The survey indicates a record jump in equity allocation, triggering a contrarian sell signal. BofA's chief strategist warns that the market is ripe for profit-taking, with potential pullbacks influenced by Treasury yields." datetime: "2026-05-19T13:37:59.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/286925292.md) - [en](https://longbridge.com/en/news/286925292.md) - [zh-HK](https://longbridge.com/zh-HK/news/286925292.md) --- # Nvidia, AMD Bulls Beware — Wall Street's Most Crowded Trade Just Flashed A Sell Warning Bank of America’s May Global Fund Manager Survey landed this week with a finding that should give every semiconductor bull pause. A record 73% of professional investors now call “long global semiconductors” the most crowded trade on the planet, up from 24% in April, the steepest one-month jump on record in the survey’s history of tracked positioning. **Nvidia Corp.** (NASDAQ:NVDA), **Advanced Micro Devices Inc.** (NASDAQ:AMD), **Micron Technology** (NASDAQ:MU) and **Intel Corp.** (NASDAQ:INTC) anchor that crowd. The **VanEck Semiconductor ETF** (NASDAQ:SMH) and **iShares Semiconductor ETF** (NASDAQ:SOXX) have led every major U.S. benchmark to records since the March low, and Nvidia reports earnings on Wednesday. The **iShares Semiconductor ETF** also recorded 18 straight sessions of gains between March 31 and April 24 and it has rallied more than 60% year-to-date. **BofA May Global Fund Manager Survey: % of investors naming each as #1 most crowded trade** **TRADE** **MAY 2026** **M/M CHANGE** LONG GLOBAL SEMICONDUCTORS 73% +49 PT LONG MAGNIFICENT 7 14% +3 PT LONG OIL 6% \-18 PT LONG EMERGING MARKETS 2% NEW LONG GOLD 1% \-13 PT SHORT GLOBAL CONSUMER STOCKS 1% FLAT SHORT PRIVATE CREDIT 1% \-8 PT Data: Bank of America ## Bull Capitulation Is ‘Almost Complete’ Fund manager equity allocation surged from net 13% overweight to net 50% overweight in a single month, the largest monthly jump on record, according to Bank of America. Cash levels dropped from 4.3% to 3.9%, the biggest cut since February 2024, triggering BofA’s contrarian sell signal for global equities. BofA’s Bull & Bear Indicator now sits at 7.8, a tick below the 8.0 line that historically marks the firm’s most reliable pullback warning. Only 4% of surveyed managers still expect a hard landing. Bank of America chief investment strategist **Michael Hartnett**‘s framing in the report is direct. Bull capitulation is “almost complete,” early June is “ripe for profit-taking,” and the degree of any pullback will be determined by long-end Treasury yields. **Read Also: Semiconductor Stocks Trade Like 1720's 'Mississippi Bubble,' Top Wall Street Analyst Warns** ## The Crowd Has Never Been This Deep In One Trade Within that record-bullish positioning, one trade absorbed the conviction. 73% of fund managers now name “long global semiconductors” the single most crowded trade on Wall Street, up from 24% in April. To frame how extreme 73% is, “long Magnificent 7” peaked in the low-60s in mid-2024 and “long gold” topped near 58% earlier this year. Long semiconductors has eclipsed both. Add the 14% naming “long Magnificent 7” and roughly 87% of surveyed managers are pointing at the same corner of the tape. ## The Bull Case Has Unresolved Cracks The risk-on rotation rests on assumptions that have not validated. 66% of fund managers expect the Strait of Hormuz to reopen in the next few months. The Strait remains closed. Global fund managers still see Brent at $85 by year-end despite crude still near $100, and net 46% now call oil overvalued, the highest reading since August 2008. 40% name a second wave of inflation the largest tail risk, up from 26%. The bond market is flashing a separate warning that aligns with Hartnett’s pullback framing: 62% of FMS investors expect the 30-year U.S. Treasury yield to break above 6% if rates make a big move in the next 12 months, against just 20% who see yields falling below 4%. Allocation to technology jumped to net 33% overweight from net 14%, the highest since February 2024. The cyclicals-versus-defensives gap is the widest since January 2018, the month the S&P 500 peaked before the volatility-spike correction that followed. **Read Also: Micron, AMD, Intel Stocks Could Face An Abrupt Reversal, Top AI Expert Warns** _Photo: jamesonwu1972 On Shutterstock.com_ ### Related Stocks - [NVDA.US](https://longbridge.com/en/quote/NVDA.US.md) - [AMD.US](https://longbridge.com/en/quote/AMD.US.md) - [SOXX.US](https://longbridge.com/en/quote/SOXX.US.md) - [AMUU.US](https://longbridge.com/en/quote/AMUU.US.md) - [NVDU.US](https://longbridge.com/en/quote/NVDU.US.md) - [SMH.US](https://longbridge.com/en/quote/SMH.US.md) - [SOXS.US](https://longbridge.com/en/quote/SOXS.US.md) - [NVDL.US](https://longbridge.com/en/quote/NVDL.US.md) - [NVDY.US](https://longbridge.com/en/quote/NVDY.US.md) - [AMDD.US](https://longbridge.com/en/quote/AMDD.US.md) - [SOXQ.US](https://longbridge.com/en/quote/SOXQ.US.md) - [AMDL.US](https://longbridge.com/en/quote/AMDL.US.md) - [NVDX.US](https://longbridge.com/en/quote/NVDX.US.md) - [NVDS.US](https://longbridge.com/en/quote/NVDS.US.md) - [NVD.US](https://longbridge.com/en/quote/NVD.US.md) - [NVDQ.US](https://longbridge.com/en/quote/NVDQ.US.md) - [NVDD.US](https://longbridge.com/en/quote/NVDD.US.md) - [MU.US](https://longbridge.com/en/quote/MU.US.md) - [INTC.US](https://longbridge.com/en/quote/INTC.US.md) - [BAC.US](https://longbridge.com/en/quote/BAC.US.md) - [.SPX.US](https://longbridge.com/en/quote/.SPX.US.md) - [NVD.DE](https://longbridge.com/en/quote/NVD.DE.md) - [BAC-Q.US](https://longbridge.com/en/quote/BAC-Q.US.md) - [BML-L.US](https://longbridge.com/en/quote/BML-L.US.md) - [BAC-L.US](https://longbridge.com/en/quote/BAC-L.US.md) - [BAC-K.US](https://longbridge.com/en/quote/BAC-K.US.md) - [BML-H.US](https://longbridge.com/en/quote/BML-H.US.md) - [BAC-N.US](https://longbridge.com/en/quote/BAC-N.US.md) - [BAC-E.US](https://longbridge.com/en/quote/BAC-E.US.md) - [MER-K.US](https://longbridge.com/en/quote/MER-K.US.md) - [BAC-O.US](https://longbridge.com/en/quote/BAC-O.US.md) - [BML-G.US](https://longbridge.com/en/quote/BML-G.US.md) - [BAC-M.US](https://longbridge.com/en/quote/BAC-M.US.md) - [BAC-B.US](https://longbridge.com/en/quote/BAC-B.US.md) - [BML-J.US](https://longbridge.com/en/quote/BML-J.US.md) - [BAC-S.US](https://longbridge.com/en/quote/BAC-S.US.md) - [BAC-P.US](https://longbridge.com/en/quote/BAC-P.US.md) - [8648.JP](https://longbridge.com/en/quote/8648.JP.md) ## Related News & Research - [Cerebras (CBRS) IPO: Why It's Different from Nvidia, AMD](https://longbridge.com/en/news/286449201.md) - [Nvidia’s AI Lead Is Back in Focus as Wolfe Research Doubles Down](https://longbridge.com/en/news/286680544.md) - [Advanced Micro Devices, Inc. $AMD Shares Acquired by WealthPlan Investment Management LLC](https://longbridge.com/en/news/286762044.md) - [$100 Invested In GraniteShares 2x Long NVDA Daily ETF 5 Years Ago Would Be Worth This Much Today](https://longbridge.com/en/news/286320411.md) - [Nvidia Will Report Q1 Earnings on May 20 — Options Traders Expect an 8.65% Move in NVDA Stock](https://longbridge.com/en/news/286763191.md)