Trader Talk: So Scared

Articles From: Bullseye Brief
Website: Bullseye Brief



Investors plowed $508B into money market funds during Q1, the most since Covid. Angst around inflation, recession and rate hikes has proven too much to bear, so people have retreated from stocks to cash. We’ve seen this before. The herd gets frightened and sells, typically at the wrong time… Covid marked a definitive bottom for stocks. Do you realize the market has rallied for two consecutive quarters? The low was last October. Even in the past three weeks, amid palpable panic around bank solvency, the S&P 500 Index has rallied 7%. When everyone runs for the exit, chose the best seat in the house and make yourself comfortable. Or buy the best stock at a discount and give it time.

Investors piling into cash

As of 3/31/23, the author holds positions in:

Alexandria Real Estate, Amazon Inc., Aptiv Inc., Arconic Inc., Avient Corporation, Axcelis Technologies Inc., Bank of America, Blackstone Inc., Boeing Company, Boston Properties Inc., Builders FirstSource Inc., ChargePoint Holding Inc., Charles Schwab Corp., Coinbase Int’l Inc., Darling Ingredients Inc., Delta Air Lines Inc., Energy Transfer LP, Evercore Inc., Expedia Inc., Google/Alphabet Inc., Iveric Bio Inc., Joby Aviation, Korn Ferry Inc., Meta Platforms Inc., Microsoft Inc., MP Materials Inc., Nine Meters Biopharma, Nvidia Corp., NXP Semiconductors, Palo Alto Networks Inc., Plug Power Inc., Progyny Inc., Qualcomm Inc., Rapt Therapeutics Inc.,, Sensata Technologies, SoFi Technologies Inc., Square/Block Inc., Sunnova Energy Int’l, Symbotic Inc., Uber Technologies Inc., Ultra Clean Networks Inc., United Rentals Inc., Unity Software Inc., Wynn Resorts Ltd., XPO Logistics Inc.

Disclosure: Interactive Brokers

Information posted on IBKR Campus that is provided by third-parties does NOT constitute a recommendation that you should contract for the services of that third party. Third-party participants who contribute to IBKR Campus are independent of Interactive Brokers and Interactive Brokers does not make any representations or warranties concerning the services offered, their past or future performance, or the accuracy of the information provided by the third party. Past performance is no guarantee of future results.

This material is from Bullseye Brief and is being posted with its permission. The views expressed in this material are solely those of the author and/or Bullseye Brief and Interactive Brokers is not endorsing or recommending any investment or trading discussed in the material. This material is not and should not be construed as an offer to buy or sell any security. It should not be construed as research or investment advice or a recommendation to buy, sell or hold any security or commodity. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.