S&P 500 Index Chart at intervals of 1 day
Almost half of Americans are not willing to take risks buying shares at current levels, according to a survey conducted by Allianz. They fear a rise in volatility, which could lead to a decline in the stock market.
Today 48% of respondents (versus 43% in the fourth quarter of 2020) prefer to take a neutral position. Almost three quarters of respondents (74%) believe that the US stock market will be very volatile this year.
Interestingly, all this is happening against the backdrop of the ongoing post-crisis recovery of the US economy: retail sales rose by almost 10% in March, and the number of initial jobless claims fell to a record low since the start of the coronavirus pandemic.
“Investors seem to be hesitant and floundering between fears of rising volatility and hopes for a good year,” said Kelly LaVigne, vice president of Allianz Life.
The volatility of the S&P 500 (VIX index) remains low, but it is growing in the sector of technology companies: investors fear that the rise in market rates could have a negative impact on their business.