On Friday, the S&P 500 plunged 2.7%, while the Nasdaq 100 tumbled 3.5%, the largest drop given that April. According to Tom Lee of Fundstrat, this is not the end of the bull market– it’s an unusual possibility for bold investors.
Lee, among Wall Street’s most relied on strategists, called it a “good flush,” indicating the VIX’s huge spike– among the leading 1% volatility surges ever tape-recorded. Historically, he said, when worry blows up like this, the marketplace’s forward returns are commonly positive simply weeks later on. He reminded capitalists that the very same configuration appeared back in April, when panic selling provided method to a 36% rally from the lows. His message is clear: “This pullback is a purchasing chance unless something structurally breaks– and absolutely nothing has.”
* Investing Opportunity Of Lifetime – Tom Lee’s Bold Call – These 3 Stocks Could Lead This Rebound *.
It must not be translated as economic guidance or as a recommendation to get or offer any certain securities. Investing in supplies, ETFs, cryptocurrencies, or other economic instruments entails considerable threat and may lead to economic loss. The sights shared are those of the specific speaker and do not stand for professional economic guidance.