Bearish bets are building in the stock market

  • 📰 axios
  • ⏱ Reading Time:
  • 25 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 13%
  • Publisher: 63%

United States News News

United States United States Latest News,United States United States Headlines

The market is actually up this month, but bearish bets are building fast.

That reflected near-manic levels of optimism, especially among retail investors, who were dominating the market.Yes, but:

That might sound like a reason to run away from stocks. But oddly, market analysts usually see extreme levels of bearishness in investor sentiment as good news for stocks.That means when it hits extreme levels of either glee or gloom, stocks tend to then go in the opposite direction — as all the negative or positive sentiment is already priced into the market.

— and expectations the Fed could slow rate hikes as a result — are what's given the S&P 500 a lift lately.

 

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:

 /  🏆 302. in US

United States United States Latest News, United States United States Headlines