The weekly Market Update is posted at Alpha Baskets and includes the following;
Another negative indicator is that mutual fund cash is at an all time low according to a chart citing ICI data that was Tweeted out all over the place this weekend. The reason this is a negative is that if there is no more cash in mutual funds then a potential source of demand is thought to be dried up. Again on its face, a negative but a negative without much predictive value and of course new cash comes from 401k contributions every pay day. Another thing to consider about mutual fund cash levels is that in most instances the fund manager is paid to invest in their specialty not make asset allocation decisions. When an investor (or their advisor) buys a fund they have already made the asset allocation decision.
Please click through to read the entire update.
Bryce Canyon National Park from last October.
Walnut Canyon National Monument on Saturday