On the heels of an unthinkable "red" day for stocks, things got back to "normal" Wednesday, as equities touched fresh intraday records.
The summit push to new peaks came less than 24 hours after health officials confirmed the first US case of the Wuhan virus.
Pandemic fears aside, the dip-buying propensity is deeply entrenched. Familiar dynamics are serving to suppress volatility. "FOMO" reigns. "The force is strong with this one".
Read more: Markets ‘Still Insulated From Shocks’, Nomura’s McElligott Says, Amid Virus Scare
And yet, the higher stocks climb, the more reason to suggest a pullback is nigh. That's almost tautological, unless you believe we've transcended pullbacks - that the era of stocks going down as well as up has passed for good.
This week, strategists have variously suggested that key indicators are flashing red. In that context, it's worth noting that data from Credit Suisse's prime services desk shows positioning in US equities at the highest since September 2018 and January 2018.
Needless to say, things went awry shortly after those previous peaks, something the bank underscores.
"On both of these previous occasions the market s
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