For Investors Only -- Nothing About The Bakken -- July 25, 2021

Global investors: $1 trillion invested in US funds in 1H21, a record amount. Link to The WSJ. Some numbers rounded. 

Investors world-wide have funneled more than $900 billion into U.S.-domiciled mutual and exchange-traded funds, on a net basis, during the first half of the year. 

That is a record in data going back to 1992 and is more than investors have put into funds elsewhere around the world combined during the first two quarters of 2021.

This is just "mutual funds and ETFs ." Doesn't include other equities. Much more at the link. When you look at the American indices and the German index, imagine you are a German investor and not an American. My hunch: American mom-and-pop retail investors are doing a lot better than professional Germany money managers.

Previously posted:

Amazing graphics:

Graphic above:

• A: trajectory when folks thought we were coming out of the pandemic; extend line A and we're easily at 36,000 for the Dow;
  
• B: trajectory when vaccinations slowed down; and delta variant emerged
• C: trajectory not seen; when delta variant concerns dissipate, probably beginning in October, 2021;

The graphic that absolutely amazes me: 

Someone is reading the blog. From Bloomberg via Yahoo!Finance today:$17 trillion "on the sidelines.

In the stock market, the refusal of retail investors to back down from every macro threat has become the only story. When will it end? Judging by the size of all the pools of cash lying around, it could be a while.

Among all the economic stories of the pandemic, the one about money piling up in people’s accounts has been the most significant in the stock market, where the S&P 500 just notched its seventh gain in nine weeks. Money market accounts, viewed in some circles as a “dry powder” reserve for equity deployment, sit at just under $4.5 trillion. A more obscure balance, the Federal Reserve’s count of money on deposit with commercial banks, has risen 33% from 2019 to $17 trillion.

While none of the money is completely unencumbered and professionals tend to hate the concept of “cash on the sidelines,” something is arming the day-trader cadres who seem bent on letting no market selloff last more than 24 hours. Take Monday, for example, when fears the delta variant would upend progress sent the S&P 500 down as much as 2.2%. Dip buyers ran to the rescue then and the rest of the week, sending the S&P 500 higher by almost 2% through Friday, despite virus cases still spiking.