Day Traders Buy The Dip After Monday's Fall
Bloomberg September 21, 2021 4:03AM “Retail Traders Ride to Rescue, Pouring $1.9 Billion Into Stocks” by Bailey Lipschultz
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Refer to Bloomberg.com for all the details.
Summary offered by 2244
Retail investors jumped on the stock selloff on Monday by investing $1.93 billion into “U.S. exchange-traded funds and bank stocks.” “Buying from the day-trading crowd was mostly concentrated in ETFs that track...SPDR S&P 500 ETF Trust (ticker SPY) and Invesco QQQ Trust Series 1(ticker QQQ).” Fidelity reported as well most bought were SPY and Apple, Inc. (AAPL). Institutional investors were selling and retail investors were buying large U.S. Investment banks with the biggest inflows being “Citigroup, Inc. (ticker C) and Bank of America Corp (ticker BAC). According to Vanda Research, “a firm that tracks retail-trading flows in the U.S., “individuals were selling shares of airline companies like American Airlines Group, Inc (AAL) and Delta Air Lines, Inc. (DAL). Institutional investors will have some exposure to price declines for those stocks. “Day traders also…[bought]...meme stocks...like AMC Entertainment Holdings Inc. (AMC) and GameStop Corp (GME)...[and] SmileDirectClub.” According to Nicholas Colas (DataTrek Research)...”the return of retail traders buying the dip was an ‘important observation,’ given their impact on stock markets in 2021.”
Tuesday S&P 500 and Nasdaq were trading early up 0.7% and 0.8% respectively.