Institutions sold, forced liquidations on retail, and then institutions bought the dip 😂 classic move
— Oscar Herrera (@OscarEnjoylife) August 6, 2024
Retail investors were aggressive net sellers on Monday following the sharp equities pullback, with most of the selling occurring in the first hour of trading, JPMorgan strategists noted.
The retail order imbalance ended the day at -$1 billion, which is -2.5 standard deviations below the 12-month average. Inflows into ETFs of $472 million were outweighed by outflows from individual stocks at -$1.4 billion.
Institutional investors, on the other hand, bought the dip with +$14 billion in net buying (+2.9 standard deviations above the 12-month average) during market hours and -$6.7 billion in Market on Close (MOC) trades.
There was also strong demand for S&P ETFs, JPMorgan said, indicated by a $430 million inflow into Vanguard S&P 500 ETF (NYSE:VOO), SPDR® S&P 500 (NYSE:SPY), and iShares Core S&P 500 ETF (NYSE:IVV), which were +7.6, +1.2, and +2.6 standard deviations above their respective 12-month averages.
https://finance.yahoo.com/news/institutional-investors-bought-dip-retail-102716975.html