TD Ameritrade Investor Movement Index: IMX Rises Over 15 Percent to New Record High

07:34 12/04/2017

TD Ameritrade, Inc. announced today that the November 2017 Investor Movement Index® hit a new all-time high of 8.53. TD Ameritrade, Inc. is a broker-subsidiary of TD Ameritrade Holding Corporation AMTD , and this new all-time high reflects the growing and sustained confidence in the market. The Investor Movement Index, or the IMXSM, is a proprietary, behavior-based index created by TD Ameritrade that aggregates Main Street investor positions and activity to measure what investors have actually done and how they were positioned in the markets.

“This IMX reading shows that investors had continued confidence in the market. They wanted exposure to the amazing rally in November as all three major indices hit all-time highs,” said JJ Kinahan, chief market strategist at TD Ameritrade.

November’s reading eclipsed the October Index by 1.13 points, which is the largest percentage jump from month-to-month in the Index’s history. Ameritrade clients were net buyers for a tenth consecutive month. Net buying, coupled with higher relative volatility in many widely held names, including Apple (AAPL) and General Electric (GE), helped raise the IMX by more than 15 percent.

Investors are maneuvering to increase their exposure to equity markets as major market indices have reached all-time highs. The S&P reached 2,600 for the first time, and there are increased projections for U.S. economic growth from the two Federal Reserve Banks. The increased growth projections also bolstered equity gains following better-than-expected housing and industrial production data. Another key factor has been diminishing unemployment, which reached its lowest number of 4.1 percent since 2000.

TD Ameritrade clients took particular interest in volatile blue chips in November, and Semiconductors were also a popular choice. Interest in Chinese online companies also grew in November, as Alibaba Group (BABA), (JD) and Tencent Holdings Ltd (TCEHY) were net bought, with Alibaba Group (BABA) and Tencent Holdings Ltd (TCEHY) both reaching 52-week highs during the period.0

This article has been provided by a Chasing Markets contributor. All content submitted by this author represent their personal opinions, and should be considered as such for entertainment purpose only. All opinions expressed are those of the writer, and may not necessarily represent fact, opinions, or bias of Chasing Markets.
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