Like Philippine stocks during the 1H 2015 "record" run, US stocks appear to be having their own version of a stock market Potemkin Village.
Gavekal's Eric Bush explains, (bold mine)
Over the past year, more stocks in the US have been declining than advancing for the first time since 2009. In the charts below, we show the cumulative net advances (i.e. # of stocks advancing minus the number of stocks declining each day cumulatively added together over a specific time frame) over 1-year, 2-year, and 3-year time periods.The one-year cumulative net advances has fallen from 10,760 in January 2015 to -2,547 through yesterday’s close. This is remarkable since our GKCI United States Index is only about 6% of its 1-year high. Over the past decade or so, usually when the one-year cumulative net advances goes negative it is associated with a sizable decline in the market.Cumulative net advances over the past two- and three-years remain positive, however, the impressive breadth in the market that was intact at the end of 2014 has quickly faded away.
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