Institutional investors are selling U.S. stocks at a historic rate, with a net sale of $8.3 billion for the week ending in Feb. 13. This marks the second-largest weekly net sale in history and the 13th time in 15 weeks that more stocks were sold than purchased. The S&P 500’s Shiller P/E Ratio is at a historical high, leading to concerns about an impending stock market decline. However, stock market downturns tend to be short-lived, presenting buying opportunities for long-term investors. The Federal Reserve is divided, with expectations of sizable drawdowns in the Dow, S&P 500, and Nasdaq Composite.
The stock market has seen immense growth over the past seven years, with the S&P 500, Dow Jones, and Nasdaq Composite reaching record highs. However, headwinds are beginning to stack up for the stock market, raising concerns for the future. Institutional investors are showing skepticism towards current market conditions, which may lead to significant declines in major indices. Despite these warnings, historical data suggests that stock market downturns are temporary and can present opportunities for investors in the long run. Investors are advised to exercise patience and consider the potential for significant returns in the future.
Read more at Yahoo Finance: Institutional Investors Just Sent a Historic $8.3 Billion Warning to Wall Street — but Are Investors Paying Attention?
