Be careful before you assume that the mood has switched already to doom and gloom.
From Michael Block at Phoenix Partners:
There’s a fair amount of doom and gloom out there. This weekend, after all of the carnage that we saw in the indices last week, we opened Barron’s to find the Mid Year Roundtable, where bears like Felix Zulauf instructed readers to short most of the high beta U.S. stock ETFs and to only buy health care and staples if you have to buy something. Value investors grumbled about how cheap financials look on a price/book value basis, but no one was sticking their neck out about it. Unrepentant bulls like Abby Joseph Cohen stuck to safe stocks like JNJ, BA, and F for their top picks. So no one is saying “damn the torpedoes” here but no one is stocking up on canned goods and ammo either, except for the usual suspects (like the guys who see SPX 400) who even caught ol’ Alan Abelson’s ire this weekend. I am having trouble seeing what the buying point is. The way I look at it, the goalie is starting to look towards the bench, but he is not inching out of the crease just yet.
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