"Typically when you have an overbought market … the market typically needs to rest, it needs to digest the gains and instead what we had was the market sort of inching higher," said Quincy Krosby of LPL Financial.
Jack Ablin of Cresset Capital echoes Krosby's overbought sentiment, pointing to speculative areas like growth stocks and tech as an area needing to come down as well.
"The smaller speculative growth, tech names, I think got ahead of themselves," Ablin said. "The Fed is still removing liquidity and speculation from the market and it just seems like an odd backdrop to be able to invest in speculative ideas right now." |
