Bears unwinding positions leaves rallying stocks exposed

  • 📰 Moneyweb
  • ⏱ Reading Time:
  • 20 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 11%
  • Publisher: 77%

Malaysia News News

Malaysia Malaysia Latest News,Malaysia Malaysia Headlines

The extreme pessimism that’s gripped American stock investors for much of the year is starting to dissipate. That might be reason for caution. Moneyweb Stocks Equities

The extreme pessimism that’s gripped American stock investors for much of the year is starting to dissipate. That might be reason for caution. Stock bulls betting the whiff of recession means the worst of the Federal Reserve’s rate-hike medicine has been administered drove the S&P 500 to a second day of gains and the highest level in almost two months.

“This implies that if, because of some negative news such as a strong US payroll report that triggers significant repricing of the Fed, momentum turns negative again, there is plenty of room for CTAs to start building up short positions again.” The observation is echoed by Charlie McElligott, a cross-asset strategist at Nomura Holdings who estimated that momentum traders snapped up $4.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 5. in MY

Malaysia Malaysia Latest News, Malaysia Malaysia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Ten ways to rate a businessHere’s what the retail investor should focus on when researching prospective stock buys
Source: BDliveSA - 🏆 12. / 63 Read more »