A pullback for the Dow Jones Industrial Average and the S&P 500 index on Tuesday halted the longest win streak for stocks in months, but a major concern for investors remains: Is there a major correction looming ahead?
The year-to-date gains in the large-cap Nasdaq, up 8.7%, and the Russell 2000, up 16.4%, reflect an odd convergence of investor bets: Those wagering on further prosperity in COVID-tested, large-capitalization growth stocks that worked in the aftermath of the pandemic in the U.S. back in March, alongside bets for a sizable rebound in small-cap, economically sensitive stocks represented in the Russell.
“There’s tremendous liquidity, there’s a very good and very understandable story behind the scenes. Meaning, we’ve got a strong economic recovery that’s visible to everyone. The earnings season’s been good so far…and people have bought into it,” the Morgan Stanley analyst said. “Although there are frothy segments of the market that are detached from fundamentals, we do not see bubble conditions more broadly,” Lerner wrote in a research report dated Tuesday.
“The experts” lmao
Yes, wash out the rabble.
95% only bad news(