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BRUFX was up. Also, PTIAX. I'm mostly bonds, but still own stock funds. Everything else was DOWN. Strange, but it happens. My total portf. was down by -0.1%.
Hi Derf, According two a couple of feeds in my barometer they have reflected over the past couple of days a softening and from past history this has often reflected that a dip (decline of 0% to 5%) or even a pull back (decline of 5% to 10%) perhaps even a correction is in the making. To me, this makes some sence due to political convention activity. We shall see. As I write the futures are down in most risk on asset classes. I not looking for an up day in the market as it is Friday and most traders will close out their open positions rather than carrying them open over the weekend. This is Old_Skeet's scientific wild ass guess (SWAG) so no gurantees on the above are made. My account was down -0.06% (6/100ths).
One theory advanced by some is that what you observed is a reflection of people chasing the indexes / index funds higher and higher. (Call it “The elephant chasing his tail” syndrome.) So, while several indexes were propelled higher by indiscriminate buying (including from the Robin Hood crowd), the overall market which is owned by (hopefully ) saner managers didn’t rise as much.
Here it is from one experienced observer. I’ve limited the excerpt which is from a paid subscription.
“ ... while today the popular stocks beneath the surface, whether that's Apple or Tesla, (continue) to melt up. It doesn't take much knowledge of historical valuations or an understanding of math for folks to realize that there are so many companies where the valuations are beyond absurd ..... When an index fund gets money, it just goes out and buys and the price makes no difference, which is not what occurs when an active manager gets money. They tend to use some common sense as to what might be too expensive to buy or too cheap to sell.” (Bill Fleckenstein / Aug. 21, 2020)
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Financials, industrials down.
Like just about every recent day, momentum up, Fed backed assets up, value down.
One theory advanced by some is that what you observed is a reflection of people chasing the indexes / index funds higher and higher. (Call it “The elephant chasing his tail” syndrome.) So, while several indexes were propelled higher by indiscriminate buying (including from the Robin Hood crowd), the overall market which is owned by (hopefully ) saner managers didn’t rise as much.
Here it is from one experienced observer. I’ve limited the excerpt which is from a paid subscription.
“ ... while today the popular stocks beneath the surface, whether that's Apple or Tesla, (continue) to melt up. It doesn't take much knowledge of historical valuations or an understanding of math for folks to realize that there are so many companies where the valuations are beyond absurd ..... When an index fund gets money, it just goes out and buys and the price makes no difference, which is not what occurs when an active manager gets money. They tend to use some common sense as to what might be too expensive to buy or too cheap to sell.” (Bill Fleckenstein / Aug. 21, 2020)
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