Corporate Insiders' Stock Selling Hits 21-Year Low in July, Signaling Bearish Outlook
Corporate insiders are exhibiting their most bearish sentiment in decades, with their net buying of company shares in July reaching a 21-year low. According to University of Michigan finance professor Nejat Seyhun, the percentage of companies with net insider buying stood at 14.8% through Wednesday in July. This trend is considered particularly concerning as insider selling often signals a lack of confidence in a quick market recovery, especially when the broader market is already struggling, as seen with the PHLX Semiconductor Index falling into bear market territory in July.
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