These are bad times to be a bear on Wall Street


Short Sellers in Danger of Extinction

The capitalization of the S&P 500 has surged by about $30 trillion in the past decade, more than doubling its size, powered first by the era of ultra-low borrowing costs and more recently by an artificial intelligence-fueled frenzy.

Bloomberg 3 juni 2024

https://www.bloomberg.com/news/articles/2024-06-03/jim-chanos-leads-short-seller-retreat-after-markets-surge


RE: I blame the Dipbuyers. They will go on winning until they don't.


Buy The Dips




Sex aktier stod för 75 procent av majuppgången i S&P 500

”Vi ser en otroligt smal marknad som drivs av allt färre aktier, det vill man inte se i en hälsosam aktiemarknad”, säger Yung-Yu Ma, investeringchef på BMO till Yahoo Finance.

DI 4 juni 2024




 Big Tech Unplug Stock Market From Reality

The average stock in the S&P 500 is hurt more by rising yields—and helped more by falling yields—than any time this century. 

Yet the S&P itself is far less affected by the outlook for interest rates, because the Big Tech stocks that make up so much of the standard, value-weighted index are insulated from the Fed by their enormous cash piles.

The median stock in the S&P trades at 18 times forward earnings, against more than 21 times for the Big Tech-dominated index. (To be clear, that still isn’t cheap by historical standards.)

The Big Tech stocks that dominate the market sit on huge cash piles, while the biggest companies chose to lock in low interest rates for a long time by refinancing their bonds before the Fed began raising rates in 2022.

James Mackintosh Wall Street Journal 4 June 2024






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