Dennis Gartman is moving away from stocks and investors may want to take note that if anything, his bearishness is getting stronger.
"I got stopped out of a lot of long positions on Thursday and Friday of last week," the chairman of the University of Akron Endowment told Bloomberg Radio on Monday. "I'm happy to be basically as flat as I've been in a long period of time." Stopped out refers to the execution of a stop-loss order.
While Gartman, the former publisher of the influential "The Gartman Letter," in the past said he was wrong about a bear market in 2021, when the S&P index rose about 27%, his forecast for 2022 remains foreboding.
"It could go quite a good deal farther to the downside," he said. "The use of margin has been declining. That's always one of the signs of a top in the market. Be careful. I think it goes down another 5%-10% from here. At least. Maybe more. "
Gartman has long been calling for a bear market, and predicted the catalyst would be a hawkish Federal Reserve regime of higher interest rates to combat the fastest inflation since the 1980s.
