Traders Are Cashing Out of Markets En Masse
- Traders just pulled billions out of stocks and junk bonds
- Elevated market valuations are now stirring investor angst
Pedestrians walk past the New York Stock Exchange.
Photographer: Michael Nagle/BloombergThis article is for subscribers only.
The great market rally of 2024 looks dangerously close to unraveling as Wall Street’s once-invincible bull brigade begins to withdraw its winnings.
With Treasury yields breaking out, Federal Reserve hawks ascendant and Middle East strife flaring, money has just been pulled out of equities and junk bonds at the fastest rate in more than a year. Dip-buyers have been muzzled. The S&P 500 fell every day this week as the top seven tech behemoths closed nearly 8% lower, with equity volatility climbing.