This week’s investor groupthink came courtesy of the American investment banks, a number of which turned bearish on U.S. stocks at around the same time.
From Goldman Sachs to Bank of America Merrill Lynch to Citigroup, analysts were making calls this week urging investors to sell in May and go away — maybe even go away for a while. All you had to do was look at the signals, they argued: A newly hawkish Fed bringing rate risk back into play; a frothy-looking rally in emerging market assets; the U.S. profit recession. Read More…
Looks more like a brief market correction to me. That’s what we’re in. I doubt this is a sign of a recession coming. I still haven’t changed my strategy.
But if the US is expected to go into a recession does this mean we here in Canada will too? Will the dollar spike?
Fundamentals say one should sell. As for me, i am not so sure because i’ve been doing a lot of emerging market buying.
Wow 5.5% is being held as cash in the average portfolio? That’s pretty high indeed. Is it just for those portfolio’s focusing on foreign US holdings?
Really? Maybe i need to recheck the data but i’m still up 15% on my U.S. side.
Good ole Thomas Lee and his never ending optimism. He has been wrong many times before. I wouldn’t stand by his advice like its the word of god.
There are still plenty of sectors performing quite well. Still not a time to panic.