Retail investors are doubling down on US equities despite mounting losses, pouring over $12 billion<\/strong> into stocks in the week ending March 19, according to JPMorgan Chase & Co.<\/strong> The buying spree comes as the broader market struggles with trade turmoil and economic slowdown fears<\/strong>.<\/p>\n\n\n\n The surge in retail trading activity was well above the 12-month average<\/strong>, noted Emma Wu<\/strong>, a global equity derivatives strategist at JPMorgan. Historically, retail traders are among the last to retreat from the market, making their continued buying a potential signal that stocks haven\u2019t hit bottom yet<\/strong>.<\/p>\n\n\n\n Despite their enthusiasm, retail investors are facing growing losses. According to Wu:<\/p>\n\n\n\n The latest drop follows disappointing forecasts<\/strong> from major US corporations, including FedEx, Nike, Micron Technology, and Lennar<\/strong>, adding to economic uncertainty.<\/p>\n\n\n\n Since the market downturn began in late February<\/strong>, retail traders have remained aggressive buyers, in stark contrast to institutional investors, who have been rotating out of US stocks at a record pace<\/strong>.<\/p>\n\n\n\n However, Bank of America reported that both institutional and private clients<\/strong> bought stocks at a rapid pace in the week through Wednesday. Global stock funds saw $43.4 billion in inflows<\/strong>, the largest this year.<\/p>\n\n\n\n While retail traders continue to bet on a rebound, Wall Street strategists are growing more cautious:<\/p>\n\n\n\nRetail Traders Facing 7% Losses<\/h2>\n\n\n\n
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Retail Traders Diverge from Institutions<\/h2>\n\n\n\n
Wall Street Turns Bearish<\/h2>\n\n\n\n