Use access key #2 to skip to page content.

TrimTabs Still Can't Figure Out Who Is Buying Stocks



December 26, 2010 – Comments (4)

Zerohedge with the find here:

Biderman responds what every Zero Hedger has known for 33 weeks: "Retail investors are not coming back to the US. Those investors that are investing are buying global equities and are buying commodities. We are seeing lots money going into commodity ETF funds: gold, silver..." and the even more unpleasant summation: "individuals have been selling, companies are net selling, insider selling and new offerings are swamping any  buyback and any cash M&A activity since QE 2 was announced. Pension funds and hedge funds don't really have that much cash to invest. So what nobody's asking is what happens when QE 2 stops: if the only buyer is the Fed, and the Fed stops buying, I don't know what is going to happen...When I was on your show a year ago I was saying the same thing: we can't figure out who is doing the buying it has to be the government, and people said I was nuts. Now the government is admitting it is rigging the market." Cue Bartiromo jaw dropping.


As for the simple math of where the money is actually going:

"Money flows come out of income, take home pay of everybody plus money that came from real estate is down about $1 trillion a year. It peaked in the 3rd quarter of 2008, at $7 trillion, that's take home pay for everybody who pays taxes plus the money that came from real estate. It has now bottomed at $5.9 trillion. We are still down $1.1 trillion in money that people have to spend each year, that 16%. And some of the money that is leaving equity markets we think is going to pay bills."

4 Comments – Post Your Own

#1) On December 27, 2010 at 11:47 AM, Valyooo (99.35) wrote:

Yeah, the fed is the ONLY REASON the market is higher, and they're the only buyers....

What an idiot I was for putting so much money into equities on September 1st!

Report this comment
#2) On December 31, 2010 at 5:04 PM, truthisntstupid (97.45) wrote:

Yeah... none of any of us THOUSANDS (maybe tens of thousands, maybe MORE...?) of people that come to this site are buying stocks.


Report this comment
#3) On December 31, 2010 at 5:11 PM, truthisntstupid (97.45) wrote:

Pretending things conform to your view when they don't does not make it so.


Report this comment
#4) On January 02, 2011 at 8:42 PM, dengji wrote:

welcome to: ======= website wholesale for many kinds of fashion shoes, like the nike,jordan,prada, also including the jeans,shirts,bags,hat and the decorations. All the products are free shipping, and the the price is competitive, and also can accept the paypal payment.,after the payment, can ship within short shippingcompetitive priceany size availableaccept the paypalhttp://www.gotootoo.comSOCCER JERSEY 16USD jordan shoes $32nike shox $32Christan Audigier bikini $23Ed Hardy Bikini $23Smful short_t-shirt_woman $15ed hardy short_tank_woman $16Sandal $32christian louboutin $80Sunglass $15COACH_Necklace $27handbag $33AF tank woman $17puma slipper woman $30=====


Report this comment

Featured Broker Partners