Salient to Investors:
Bloomberg reports 64 percent of 108 S&P 500 companies had analyst ratings lowered in the past week.
Investment Company Institute say American equity mutual funds had $7.2 billion of outflows during the week ended May 23 versus $178 billion of outflows in the previous 12 months.
Blackstone Group’s Byron Wien says it’s safe to buy, more investor disappointments are unlikely, everyone is bearish, and investors have cash.
Laszlo Birinyi reiterated buy recommendation, says market was due for a correction. Historically the last stage of a bull market sees a very strong rally but we still have too much skepticism. Expects the last phase of this bull market to start around September. Owns Whirlpool. Nike and Chipotle Mexican Grill.
UBS’s Jonathan Golub said the market was due for a correction, sees S&P 500 at 1,475 by year-end because U.S. economic conditions are strong and Europe will stem its crisis. Likes technology and consumer discretionary companies.
Canaccord Genuity Securities’ Tony Dwyer says market correction normal and healthy, sees S&P 500 at 1,575 as the fundamental backdrop remains constructive. Producer price below 3 percent annual means expenses won’t curb profits. Likes technology and consumer discretionary companies.