Investors who used the stock market's recent swoon to scoop up shares are hoping the last weeks of the year bring renewed strength to equity prices, even as worries over the Omicron variant and a more aggressive Federal Reserve continue to loom.
Uncertainties remain over Omicron even as optimism it may cause milder illness has helped boost markets, while next week's Fed meeting could bring unwelcome news for investors worried that the central bank may begin to normalize monetary policy at a faster-than-expected pace to fight surging inflation.
Extremes in investor sentiment are sometimes viewed as potential turning points in markets, and therefore opportunities to buy or sell stocks. After a period of placid trading, some indicators of investor sentiment and positioning had swung towards caution during last week's selloff., known as Wall Street's "fear gauge," which hit 35.32 last week, its highest level since January. The index has eased in recent days and stood near 22 late on Tuesday.
Several other options market measures, including put-call ratios, volatility futures prices and skew, showed that a lot of "froth/downside" had left the market during the recent pullback, Susquehanna International Group's Chris Murphy said in a note. Meanwhile, investor bearishness on the market's direction hit its highest level of the year in last week's survey from the American Association of Individual Investors. Deutsche Bank's measure of investor equity positioning saw its largest decline since March 2020.At the same time, the Omicron-fueled pullback attracted its share of buyers. As stocks fell last week, BofA Securities clients were "big buyers of the dip," buying $6.
Norge Siste Nytt, Norge Overskrifter
Similar News:Du kan også lese nyheter som ligner på denne som vi har samlet inn fra andre nyhetskilder.
Israel completes 'iron wall' barrier around besieged GazaIsrael announces the completion of a barrier around blockaded Gaza, described as an 'iron wall' equipped with underground sensors, radars and cameras
Les mer »
Wall Street leaps as Nasdaq rallies 3% on boost from Big Tech, chipmakersWall Street's main indexes rallied strongly on Tuesday, with the Nasdaq surging 3% as investors piled onto beaten-down quality technology stocks, while Intel jumped after plans to take its self-driving car unit public.
Les mer »
Why Wall Street Thinks Omicron Might Be Good NewsThe markets are rallying hard on the bet that Omicron won’t be serious — and might even help create a way out of the pandemic. KevinTDugan reports
Les mer »
Dow leads Wall Street higher with 2% gain; cyclicals in vanguardThe Dow led Wall Street shares higher on Monday, as economy-linked banks and energy stocks charged back and fear about the Omicron variant eased, even as investors braced for another roller-coaster ride like last week's.
Les mer »
Wall Street opens higher on banks, energy boostWall Street's main indexes opened higher on Monday after declining sharply last week on Omicron and taper fears, with investors favoring banks, energy and economy-linked stocks against technology and growth-heavy shares.
Les mer »
Hong Kong warns Wall Street Journal of legal action over election editorialHong Kong has warned the Wall Street Journal that it may have broken electoral law by 'scaremongering' in a recent editorial about the upcoming vote for the city's legislative council.
Les mer »