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"Traders on Tuesday again are pointing to Good Harbor Financial LLC, among the largest exchange-traded fund portfolio managers, saying its outsize trading footprint is weighing on the stock market as it moves to rebalance its portfolio.
For Chicago-based Good Harbor, Tuesday would mark the first time its flagship portfolio makes a midmonth trade as it implements a shift to its rebalance schedule. Previously, Good Harbor traded only once early in the month."
I find this hard to believe. The fund (which is a crappy fund with huge assets) owned less than 2% in UWM (Mainstay Marketfield I is the next biggest at about a third of that), about 10% of the daily volume and they caused a doubling of daily volume? They may have increased the selling pressure a little bit but large trades like this (assuming the fund tried to sell all) only depresses the price for a short period if the sentiment is good and typically only hurts the seller.
The trades from this fund seems to be consistent with the market sentiments rather than cause it from a regularly scheduled trade.
Seems like a spin to halt the hemorrhaging against their positions!
UWM has been going up an down in its downward trend for a while without much of a correlation to month beginning and middle.
Comments
The trades from this fund seems to be consistent with the market sentiments rather than cause it from a regularly scheduled trade.
Seems like a spin to halt the hemorrhaging against their positions!
UWM has been going up an down in its downward trend for a while without much of a correlation to month beginning and middle.