In the past month, as U.S. stocks persistently climbed to high altitudes, air has progressively gotten thinner as far as shorts are concerned. With that said, the action last Friday raises the odds that the latter is about to get … Continued
In the latest reporting period, there was a big drop in short interest on IWM, the iShares Russell 2000 ETF. It dropped 10.1 percent period-over-period to 118 million shares – the lowest since the middle of August. Shorts had been … Continued
The S&P 500 index rallied 0.9 percent last week – its third consecutive up week. Off the September 29th intra-day low, it is now up 8.7 percent (Chart 1). That is in 14 sessions! This is too fast, and probably … Continued
A battle is being fought between optimists and pessimists in the land of gold. Of late, the former is winning hands down. Near-term, the latter might at least get some reprieve. In the latest period (September 30), short interest on … Continued
One look at Chart 1, and U.S. equity bulls may have a reason to salivate. Or not. It can be a reason to worry as well. NYSE Group short interest is through the roof. Literally. By the end of September, … Continued
During the September 15-30 reporting period, short interest on SPY, the SPDR S&P 500 ETF, dropped 15 percent period-over-period (Chart 1). This was interesting because the ETF shed 2.9 percent during the period, having just tested the August 25th closing … Continued
Traders – the good ones – must be having a field day. Stocks are swinging wildly. IWM, the iShares Russell 2000 ETF, fell 11 percent during August 17-24, then rallied nearly 10 percent by September 17, fell again – nearly … Continued
Third-quarter earnings season begins in earnest this week. Operating earnings estimates for S&P 500 companies have been persistently coming down for 2015 – from as high as $137.52 at the end of the second quarter last year to $110.98 as … Continued
By last Tuesday, non-commercials were net long 22,490 contracts in 10-year note futures, having reversed the bearish bet they had in the prior four weeks (Chart 1). Turns out it was the right thing to do. By Tuesday, TLT, the … Continued
Do non-commercials have it right? Their net shorts in Russell 2000 futures peaked at 46,064 contracts on August 18, a week before stocks, including small-caps, bottomed. Since then, they have gradually been reducing their bearish bias, with holdings at -27,708 … Continued