The US stock market disconnect is growing – Business Insider

The US stock market disconnect is growing – Business Insider

May 8, 2015, 10:11 AM
9,100

The big disconnect in the US stock market just keeps getting bigger.A new Bank of America Merrill Lynch survey published Thursday finds that US investors have pulled $99 billion out of equities year-to-date — including net outflows in 11 of the past 12 weeks — despite stock prices continuing to break record highs.

This week also saw the biggest outflows from equity ($17.2 billion) and high-yield bond funds ($2.6 billion) this year. This data follows a similar report from BAML last month that showed investors pulled $79 billion from the stock market this year and nine of 10 weeks to that point.

As this imbalance grows, Bank of America writes, so does the risk of something we haven’t seen in the market in years: a correction.

Bank of America Merril Lynch

SEE ALSO: Unemployment rate falls to 5.4%

NOW WATCH: How to invest like Warren Buffett

Please enable Javascript to watch this video

View this article:  

The US stock market disconnect is growing – Business Insider

Share this post