Friday, April 11, 2014

Put/Call Ratio In Perspective

In spite of the S&P's 'triple whammy' yesterday (see our comment here), one traditional marker of a meaningful decline or correction failed to do much at all.  Indeed, the put/call ratio didn't even jump to one standard deviation above its mean over the last decade:

image

The average investor does not seem too eager to buy protection against a downward move-- yet.