Corporate Insiders’ Buying Burst Gives Confidence to S&P Bulls
This article is for subscribers only.
US stock bulls searching for signs that the worst of the market rout is over are looking to one group of in-the-know investors: company executives.
While stocks were getting hammered into a brief correction last week, driving the S&P 500 Index to erase some $5 trillion in equity value, corporate insiders returned to buy the dip. A gauge of insider sentiment from the Washington Service shows that with two more weeks to go in March, the ratio of buyers to sellers rose to 0.46, up from 0.31 in January. That puts the measure on pace for the highest monthly reading since June and back near its historical average.