The last time money managers and individuals were this far apart was in March 2009, before the Standard & Poor’s 500 Index began its 63 percent rally, according to data compiled by Bloomberg. It may signal another buying opportunity after concern the U.S. economy will fall into a recession wiped out $1.6 trillion from American equity values since April, according to Fritz Meyer, a Denver-based senior market strategist at Invesco Inc., which oversees $558 billion.
Comments out of the Fed this past week have ostensibly signaled that central bankers are heeding St. Augustine’s supplication and plan to tackle the greater threat of deflation before focusing on any new austerity measures. And the financial markets seem to suspect such will be the case as well. Despite a failed stress test of … Continue reading