guys, now is the time to be very careful. since March we have experienced a nice Bear Market Rally.( on low volume) a downside correction from here is likely.
NT
U.S. Stocks Retreat From Four-Month High on Earnings Valuations May 11 --
U.S. stocks fell from a four-month high after the Standard & Poor’s 500 Index traded at the most expensive level in seven months and banks said they would sell more shares.
Capital One Financial Corp., U.S. Bancorp and BB&T Corp. tumbled at least 6 percent on plans to sell shares to repay government bailout funds. American Express Co. and JPMorgan Chase & Co. slid more than 6 percent following a 23 percent surge in a measure of financial stocks last week.
General Motors Corp. dropped 11 percent after saying bankruptcy is more probable than previously thought. The S&P 500 lost 1.6 percent to 914.4 after advancing for eight out of the past nine weeks.
The Dow Jones Industrial Average declined 155.85 points, or 1.4 percent, to 8,418.8. Three stocks fell for each that rose on the New York Stock Exchange, the broadest sell-off in three weeks. Europe’s Dow Jones Stoxx 600 Index slid 1.4 percent.
“The market has gone too far, too fast,” Douglas Cliggott, the Greenwich, Connecticut-based manager of the $81 million Dover Long/Short Sector Fund, which beat 97 percent of its peers last year, told Bloomberg Radio.
“There is a risk that the market will give quite a bit of the move back.” NT
