Americans invested more in past 5 months than...

...than in the last 12 years

Over half-a-trillion dollars have been spent on stocks in that time. Is a pullback coming?

BY
CHRIS MORRIS
April 09, 2021 1:32 PM EDT




Money has been flooding into Wall Street since hope appeared on the horizon in the form of positive vaccine news.

Over the past five months, over half-a-trillion dollars has flowed into equity funds, according to a report from Bank of America. That’s more than the past 12 years combined, says the financial services company.

There are a number of reasons for the surge in investments. Individual investors have been especially active, as stocks like GameStop and AMC have seen big surges this year, thanks to Reddit’s r/WallStreetBets community. And overall optimism about the pandemic has been on the rise since early November 2020, when Pfizer first reported that trials on its COVID-19 vaccine showed it was 90% effective in preventing first-time infections and it began the process of applying for emergency use authorization from the FDA.

The markets themselves have been helping spur investment enthusiasm as well. The S&P is up 17% in the past five months; the Nasdaq composite index is up 27%; and the Dow Jones industrial average has increased 27% as well.

Approximately $569 billion has gone to global equity funds since November, according to Bank of America’s chief investment strategist Michael Hartnett. In the previous 12 years combined, that total has hit just $452 billion.

That vast investment is raising fears about a pullback, though. All three major market indexes are at or near record highs. Analysts, though, remain optimistic about the markets, and first-quarter earnings, which begin to trickle in next week, are expected to be strong.


Source :
https://www.google.com/amp/s/fortun...et-investments-covid-markets-wall-street/amp/

 

I sure hope so! This drift higher is unbearable.

 

Not my words, but authors. Yet, wouldn't mind that as well

 

wait until 5-6k ES and then see how you feel lol.
Shorting is always risky. Best to go long

 

There’s still 4 trillion that needs to enter the markets.

 

Why??? Are you short? I would say this massive move up is strange (not so much if Fed is considered of course), but why unbearable?

 

You

Guess he doesn't like easy money?

 

Where from ?

 

I am not short, but I am not establishing any new long positions. I am long VXX and down on the position. I don’t want to sell puts at this level, waiting for a red day. Day-trading has dried up significantly. I am in two day trading chat rooms with similar styles to mine, and both are experiencing drought. So it’s Sit On Hands time for me.