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Risk appetite returning to investors

However, asset allocators are still underweight equities, indicating they have not fully embraced the idea of a new bull market, says Merrill Lynch.

Investors surveyed by Merrill Lynch have become more optimistic about the global economy, causing risk appetite to increase further. Optimism about global economic growth has reached its highest level since early 2004. A net 26% of respondents say the global economy will strengthen in the next 12 months, up sharply from negative 24% in January.

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