Last night I read the nightly market report I receive from BNY/ConvergEx which gives us all a better idea of where this rally is coming from. According to the report “over the first 12 trading days of the new quarter, investors have added some $24.4 billion of new assets to ETFs which focus on U.S. equities, or over $2 billion per day. That’s almost 4x the run rate of the first half of 2013 and simply a torrent of fresh money by even the ETF industry’s go-go standards.”
I had to read this twice to make sure I was actually reading that over $2 billion dollars a day has come into equity ETFs this month (this is the highest I know of on record). Should money continue to come in at even half this pace the bull market is going to be sustained and potentially for quite some time.
Today should be especially interesting because of Google (GOOG) missing their numbers yesterday. In a normal bull market they’ll open the averages lower (the S&P futures are down about 3 points near midnight ET). Then the cash will get put to work.
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