by Michael Tarsala
Wall Street analysts are more bearish than they have been in 15 years, according to a Merrill Lynch indicator.
Source: Pragmatic Capitalism
That’s considered a positive for the market. Analysts as a whole tend to be extremely bullish when markets are near a top and extremely bearish near bottoms.
Yet there’s one problem: It’s that market volatility also has come down so much in recent weeks.
Stocks would have a much, much easier time gaining ground if volatility was declining from an extreme.
So it’s hard to see this mostly bullish signal as a positive near-term catalyst for the markets.
