Saturday, April 14, 2012

We Need YOU to Buy Stocks Now!

Individual investors, known as Retail Investors, have been taking their money out of the stock market (via Mutual Funds) for the last two years. I guess being burned in the dot-com boom of the late '90s, the housing boom of the early '00s, and the stock market boom of the mid/late '00s have left a bitter taste in the mouths of investors.

What you should know though, is that YOUR help is needed now more than ever. Institutions and hedge funds (with massive help from the Federal Reserve) have driven this market up again since the March 2009 low and desperately need you to buy stocks hand-over-fist! After all, someone needs to take the stocks off their hands.

Media outlets have been doing their best to put positive spins on horrendous and disappointing (mediocre at best) data for the last few years. Failure to highlight the repercussions of massive money-printing, inflation's adverse impact on savers, stimulus spending encouraging the destruction of perfectly functioning cars and building highways to nowhere, spending money to suppress short- and long-term interest rates to entice people to buy into the American dream of home ownership (a familiar story), and on and on, is not accidental.

Alas, here is the Mutual Fund Flows charted against the ever-rising SPY (S&P 500 ETF):



Source: http://www.zerohedge.com/news/biggest-weekly-stock-outflow-2012-proves-retail-no-longer-dumb-money-and-nobody-listens-goldman

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