LONDON (Reuters) – Bond funds sucked in $16.6 billion in the week to Wednesday, with investor euphoria sending bond yields lower even as global economy shows traces of improvement, BofA said on Friday.

Bond funds have attracted $40 billion in the last two weeks, BofA said, calling it the “echoes of 2000”. The massive rally in U.S. technology stocks over the past few months is another instance reminding investors of that year and the dot-com bubble.

The easing in trade tensions between U.S. and China and signs that the global economy is improving have put upward pressure on borrowing costs, yet yields have been reluctant to move higher.

In equities, investors piled on $12.6 billion into funds in the week to Wednesday, with Japan, technology and emerging markets attracting a bulk of that money.

Market value of global equities has soared $8 trillion since early September as central banks injected liquidity. Despite the recent run-up, BofA said it remains “irrationally bullish” until “peak positioning & peak liquidity incite spike in bond yields” and a 4-8% equity correction.

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