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Dennis Gartman: Stay neutral on stocks

Jessica Hartogs, Special to CNBC.com
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U.S. investors should stay neutral on equities in this current environment, according to Dennis Gartman, the editor and publisher of the Gartman letter.

Although the U.S. stock market has rallied strongly since its low in February, Gartman told CNBC, "if you're looking at the U.S. stock market, you're up for the year by the most bearish of barest margins." He added that he was currently staying "neutral" on stocks.

"If you have to be involved, err quietly, marginally, very slightly bullishly," continued Gartman, on the U.S. stock market, but if you can, "stand to the sidelines."

The Dow Jones industrial average hit a trough on February 11 but has rallied 13.6 percent since. On Friday, the index closed up about 107 points at its highest since December 4, 2015 and is now up 2 percent for the year.

Meanwhile, in Europe, markets closed down Friday on the first day of the second quarter. Gartman told CNBC that the European market is showing "bearish concern"; Japanese stocks are in "very bearish market" territory, while Brazilian stocks are in a bull market.

Gartman advised that on global terms, stocks were still weak and even if U.S. stocks were up by the very barest of margins, to "err very, very slightly bullishly but don't be dramatically involved."


Dennis Gartman
Lauren Alperstein | CNBC

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