A bull run will begin for the stock market once major financial institutions have deleveraged, Bill Gross, head of bond titan Pimco, said on CNBC.
Sam Stovall of Standard & Poor's told clients in a note: "The equity markets are selling off with abandon, worried that a global slowdown will turn into a worldwide recession or worse. In a situation like this you can either sell and hide, or attempt to spot a likely bottom and use it to identify a rapidly approaching buying opportunity. With that in mind, what target do I see? 700 on the S&P."
Art Cashing of UBS is betting on a rebound, saying if a healthy bottom to the market is reached in the next few days, there will be "a jaw-dropping rally." "What happens over the next five to eight days will be spoken about for generations."
David Kotok of Cumberland Advisers predicted today would be the peak of liquidation for institutions and "will run its course very soon."
Dennis Gartman, editor of The Gartman Letter, says hedge funds continue to dump stocks, as they try to balance positions and look to raise new capital from lenders.
James Awad, managing director of Zephyr Management, says "we've surpassed the 1973-74 situation", when stocks were engulfed in a brutal bear market and an oil crisis gripped the US economy.
John O'Donoghue of Cowen & Co. says trading is being driven by "the fear of the unknown," adding that the traditional buying and selling of stocks based on value was "out the window."
"right now the market's driven by emotion," says David Lutz of Stifel Nicolaus Capital Markets. "The buyers seemed to be awaiting a tidal wave of sellers. They never showed up".
-CNBC
No comments:
Post a Comment