Salient to Investors: AAII report 40.4% of individual investors expect the stock market to rise over the next 6 months, versus 34.8% a week ago, and the highest since February. 20.6% were bearish, the lowest since February. Retail investor sentiment is often cited as a contrarian indicator. Read the full
READ MORE... →Salient to Investors: Both equities and government bonds are overvalued but are unlikely to fall in tandem. Long-term investors should ignore short-term market declines because over the long-term, asset prices rise – US equities overcame the dotcom bubble and 2008 financial crisis to reach record highs in 2015. However, equities could be
READ MORE... →Salient to Investors: The market is bearish. Investor sentiment is unlikely to improve short-term as international concerns overshadow domestic ones. Brad McMillan at Commonwealth Financial said it will be another month or so before investor confidence bounces back, and if the S&P 500 falls to as low as 1,790 the likelihood for
READ MORE... →Don’t Worry About the Bull Market; Worry About the Dollar: Richard Bernstein – ThinkAdvisor 06-22-15
Salient to Investors: Richard Bernstein at Richard Bernstein Advisors writes: The bull market is intact. Markets rise after the Fed starts raising as earnings trump rising rates, and there is no end of cycle behavior, like excessive leverage or a big buildup in inventories except for energy. The MSCI European
READ MORE... →Salient to Investors: Barry Ritholtz writes: Rarely have conditions for market gains been so promising at a time when investor psychology has been so negative. Only 7% in a Gallup poll were aware of the S&P 500’s 30% increase in 2013, while more than 50% would put new cash into
READ MORE... →Salient to Investors: Todd Lowenstein at Highmark Capital Mgmt said people are selling out of fear in a market that is really acute to geopolitical risk, given current valuations. John Canally at LPL Financial said markets have to determine if this is an escalation of the conflict. 60 percent of
READ MORE... →Salient to Investors: Angus Gluskie at White Funds Mgmt said people are alert to some of the risks in China and some emerging economies, but very few people are concluding that it is going to run away too far. 51 percent of the 195 MSCI Asia Pacific Index companies reporting
READ MORE... →Salient to Investors: Tom Bowley at Invested Central/EarningsBeats.com writes: Market technicals have slowly deteriorated with the highly influential banking industry reversing hard last week with a long-term negative divergence present on its weekly chart. Longer-term momentum on the buy side is slowing. The latest rally in the S&P 500 actually
READ MORE... →Salient to Investors: Bloomberg poll: 27 percent say economic growth will increase, down from 39 percent 3 months ago, while 44 percent expect it to stay the same and 28 percent see it weakening. 25 percent said the US is on the right track, the lowest since September 2011, while
READ MORE... →Salient to Investors: Matthew C. Klein writes: The Wall Street Journal reports that well-to-do young Americans prefer to invest into “safe” luxury real estate rather than “risky” equities. The article could have been written in 2002 or 2003 before the housing bubble and bust. $100 invested at the market peak
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