Most investors now expect the U.S. stock market to crash like it did in October 1987 — why that’s good news

  • 📰 MarketWatch
  • ⏱ Reading Time:
  • 50 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 23%
  • Publisher: 97%

Italia Notizia Notizia

Italia Ultime Notizie,Italia Notizie

Investor sentiment is a contrarian indicator, writes Mark Hulbert. So all this pessimism may be good news: (OPINION)

Individual investors have never been more worried about a U.S. stock market crash. That’s great news. This counterintuitive reaction is because investor sentiment is a contrarian indicator. So it would be more worrying if investors thought there was a low probability of a crash.

“What do you think is the probability of a catastrophic stock market crash in the U. S., like that of October 28, 1929 or October 19, 1987, in the next six months, including the case that a crash occurred in the other countries and spreads to the U. S.? ” A close examination of this chart also shows why a contrarian interpretation of the CCI may be warranted. Notice that the other occasion on which it got as low as it is today was the spring of 2009. That coincided with the bottom of the financial crisis-induced bear market —a great time to invest in the stock market.

Open to interpretation My analysis of the CCI is not the only way to interpret it. In a recent opinion article in the New York Times, Shiller pointed out a big difference between now and the situation that prevailed in the spring of 2009: then the stock market was far less overvalued than it is today, as judged by the Cyclically-Adjusted Price Earnings ratio — if not outright undervalued.

Abbiamo riassunto questa notizia in modo che tu possa leggerla velocemente. Se sei interessato alla notizia puoi leggere il testo completo qui. Leggi di più:

 /  🏆 3. in İT
 

Grazie per il tuo commento. Il tuo commento verrà pubblicato dopo essere stato esaminato.

jimcramer There's a new monetary system that will become within 10 years. Look at the Club of Rome agenda and United Nations websites. NWO objectives

Pulling out this week, for sure.

Also, Einhorn bottom? Like Aikman bottom in March🤪?

Seams people are worried about a crash every day. Nothing new here. Move along.

Italia Ultime Notizie, Italia Notizie

Similar News:Puoi anche leggere notizie simili a questa che abbiamo raccolto da altre fonti di notizie.

Stocks end sharply lower as investors battered by COVID-19 case surgeU.S. stock-market benchmarks ended sharply lower on Monday, but off their intraday lows amid investors jitters around rising COVID-19 cases in the U.S. and Europe. Horrific day on Wall Street. Too bad a record bad jobs report didn’t come out today PlunkettPrime Who cares. EZ Stimulus hopes rally overnight
Fonte: MarketWatch - 🏆 3. / 97 Leggi di più »

U.S. stock market braces for rocky week ahead of contentious U.S. electionWall Street faces a rocky run-up to Election Day, with mounting worries about the outcome in Washington adding to nerves about the coronavirus pandemic and fading chances of stimulus. A fall is inevitable. People must be shitting themselves Biden’s Socialism will wreck the already fragile US economy. A rocky stock market you say? Man, I've got no idea what that feels like...
Fonte: Reuters - 🏆 2. / 97 Leggi di più »

Nobel Prize-winning economist Robert Shiller says low investor confidence and high prices are raising the risk of a market crash, and cautions investors not to be overweight stocks | Markets InsiderNONUKES NUCLEARBAN BreakingLimits Fukushima news; UTAH UNDER NUCLEAR ENERGY CRIME SYNDICATE ATTACK, SMR UAMPS SCAM, HOT NUKE WASTE via kevindblanch
Fonte: BusinessInsider - 🏆 729. / 51 Leggi di più »