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Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?

To: sylvester80 who wrote (13432)	12/14/2001 8:39:58 AM
From: orkrious	Respond to of 99280

They are down to 4.8% cash. Sylvester, not much left to buy the dips, huh? ork

To: sylvester80 who wrote (13432)	12/14/2001 9:12:48 AM
From: DebtBomb	Read Replies (2) \| Respond to of 99280

IMO, there's lot's of cash out there, but it ain't in stock funds, LOL.

To: sylvester80 who wrote (13432)	12/14/2001 7:33:58 PM
From: Psycho-Social	Respond to of 99280

Mutual Fund Cash Reserves: An interesting point. After following this stat for many years, with data going back to 1967, I had kind of forgotten about it in recent years. When I recently found out that cash reserves were so low, I checked my historical data. Here's what I found: * Every major cyclical bull market since 1967 has started with 12% or greater cash reserves, except one. * In 1998, cash reserves in stock funds peaked in Sept at only 5.8%. We were still able to have a strong bull market because huge amounts of cash came pouring in and cash reserves were drawn down to the long term floor of 4%. * In this current cycle, reserves peaked at 6.5%, I believe, in Nov 2000, an anomalous pattern. Personally, I still believe we're in a bull market, but its upside potential is certainly limited by the fairly low cash reserves. (The historical average is 8 to 9%) If/when we get down near 4% again, as we were in March 2000, that may signal the end is near.