Finance
The U.S. Stock Market Can’t Stop, Won’t Stop Its Endless Rally
Welcome to the party that won’t quit even as regular investors are leaving.
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The U.S. stock market in 2019 has exploded, with the S&P 500 index rising 18 percent and the total market adding about $5 trillion in value. Clearly, it stands to reason, superconfident investors are diving in and buying stocks with both fists. Well, not exactly.
In fact, money has been leaking from stock funds all year. Investors have pulled $134.2 billion from global equity mutual funds, according to a Goldman Sachs Group Inc. analysis of data on fund flows from EPFR Global. Of that, $56.4 billion has been yanked from U.S. mutual funds, a drawdown that’s been only partially offset by $16.3 billion that’s flowed into U.S. exchange-traded funds focused on equities.