Hardcore Bear ETFs Poised to Swell Past Bulls as Inflows Surge
- Assets close to surpassing long ETFs for first time since 2013
- Another sign of skepticism as stocks recover from February low
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The most aggressive traders are joining the growing ranks of those betting against the three-month rally in U.S. stocks.
Since the end of February, investors who use leveraged exchange-traded funds have sent $1.3 billion into exchange-traded notes that pay two or three times the inverse of the market’s return, meaning they go up when stocks fall. So big have been the inflows that the market capitalization of inverse products is on the verge of eclipsing bullish notes for the first time since 2013.