Year-end profit-taking lays a solid foundation for the new year:

Last week, US stock market outflows reached $5.1 billion, expanding from $3.6 billion the previous week.

This is the 10th week of net selling in the past 14 weeks.

Individual stocks are the main reason for the outflows, with $8.6 billion flowing out last week, marking the 7th week of outflows in the past 8 weeks, bringing the total outflows during this period to $37.8 billion.

Institutional investors sold the most, with a net sell of $5.5 billion, turning into net sellers for the first time in 5 weeks.

Retail investors sold for the seventh consecutive week, with a net loss of $1.7 billion, following a net loss of $1.5 billion the previous week.

Meanwhile, hedge funds sold $5.9 billion in the first three weeks but then bought back $2.2 billion.

Investors are cashing in on gains.