For example . . . The retail money has yanked money from equity mutual funds. The following chart from BofA Merrill Lynch shows they fled equities at a rate never seen before except at the panic points of Oct/Nov 2008 and March 2009 – the Great Recession market low.
Bespoke Investment Group (www.bespokeinvest.com) has pointed out that spikes in bearish investor sentiment coincide with market bottoms.
Bottom Line: The data rarely presents a more obvious case for a rising stock market. The prospect for a very strong employment report tomorrow could be the icing on the cake.
Jeb B. Terry, Sr.
Aberdeen Investment Management, Inc.
Caution: It’s a risky world we live in. My opinions are based on information believed to be reliable but hey, I could be wrong. When investing, try to use good judgment and don’t hesitate to seek professional assistance. Remember to set limits and have a plan. . . Good Luck!