After a brief respite last week, insider buying and selling trends returned to their regularly scheduled bearishness. The recent market dip has not attracted many buyers to the market as total insider buying for the latest week totaled just $10.2MM. Total selling surged to $490MM from last week’s reading of $250.1MM.
The insider selling and buying trends continue to reflect the low level of confidence that insiders have in the future performance of their own shares. This has been best reflected in the continuing weak trends in the labor markets and the lack of organic growth in corporate earnings. Without substantial improvement in labor trends and signs of sustainable earnings growth it’s likely that insiders will continue to be heavy net sellers of their own shares.