First, is this thing about investor sentiment. How is it possible that individual investors in America are the most bearish they've been since the bottom of the last bear market back in 2022?
I think it's because of what they own. They're not in China, which is making new 3-year highs. They're not in Germany, or Europe, which are hitting new all-time highs. They're in mega-cap US growth stocks. And when you do the math, these "Mag7" stocks have been responsible for 100% of the correction in the Nasdaq. These investors could have owned almost anything else, and been outperforming these indexes, and likely not be so pessimistic.
