Investors Are Hungry for Risk—and Holding Record Cash Sums

[newwurldmn]

Correct me if I'm wrong, but I remember reading that during the AMC or maybe GME craze, it was the option buying that was causing the squeeze. Its much cheaper to just buy an option, and then let the MM have to hedge with buying the stock, correct? So it perhaps doesn't take a lot of cash to force the market higher. Can this be accounted for by digging into the Call/Put volumes?

AMC, GME was because there were 10,000s of investors buying calls (essentially cornering the market of delta and gamma).

The idea in this thread is different. It's that there are investors looking have capital to buy assets if they selloff. These same investors didn't put all that capital to work 10% ago and at the same time those same investors are putting capital to work now causing the market to rally that those investors are waiting to end so they put this extra capital to work. It's circular logic.

 

[murray t turtle]

Fund managers are hungry to keep pace with the market so that they can keep their job.

I think that most people are fine with 5-6% risk free yield.

%%
FINE;
that article was dated Sunday,11-26, so that's thanksgiving week+ i Was mostly in QQQ + related good + excellent trend/ then .
Can always get back in if wanted later /LOL
WSJ writer thinks 5 %is so good, fine ;
others like SPY + QQQ average , much better long term even with losses + slippage.
Thanks