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And it was down 666 on Friday? That's it - Im investing in tinfoil !!!
P.S., I never noticed the duct tape chin strap before -
Posted on 02/06/2018 12:55:56 PM PST by Red Badger
As of 3:41 p.m. ET, the Dow is 600 points higher and trading at a new session high. At its session low it was down by 567 points. "I thought we were going to see the bottom within five minutes of when we opened. I think that's basically what we're seeing," says Ed Keon of QMA.
After two huge sell-offs in a row, U.S. stocks are all over the map on Tuesday. Investors blamed the wild moves on a combination of interest-rate fears, computer-driven trading and the obscure volatility funds that use leverage.
The Dow Jones industrial average opened with a big whoosh lower, then rallied all the way back. As of 3:41 p.m. ET, the Dow is 600 points higher and trading at a new session high. At its session low it was down by 567 points. It traded in a range of about 1,100 points.
Check here for the latest market index numbers.
The S&P 500 is 1.9 percent higher with tech as the best-performing sector. The Nasdaq composite gained 2.2 percent.
"I thought we were going to see the bottom within five minutes of when we opened. I think that's basically what we're seeing," said Ed Keon, portfolio manager at QMA, the quantitative and dynamic asset allocation business of PGIM. "At these levels, stocks represent pretty good value and we're adding to equity exposure." Keon said it's too early to call a bottom but he expects that the worse is over.
European markets also fell. The German Dax dropped 2.3 percent, while the French CAC 40 fell 2.4 percent. In Asia, the Japanese Nikkei 225 plunged 4.7 percent, while the Shanghai composite pulled back 3.4 percent.
On Monday, the Dow dropped 1,175.21 points, having briefly declined more than 1,500 points during the session. Other major indexes closed sharply lower. The sell-off kicked into action on Friday, after the latest nonfarm payrolls report saw interest rates in the U.S. jump.
"We think this is an interruption [of the bull market] rather than the start of a bear market," said Craig Callahan, founder of ICON Advisers. "We didn't see any of the typical conditions you get for a top."
This pullback came after a rip-roaring start to the year for stocks. The Dow and S&P 500 notched all-time highs as well as sharp gains for January.
"Widespread and excessive optimism left stocks vulnerable to increased volatility as bond yields have moved off their lows," said Bruce Bittles, chief investment strategist at Baird. "While there is some early evidence that selling pressures are becoming exhausted, and stocks could soon see relief, the broad market is seeing meaningful deterioration."
While there was no particular piece of news that pushed major U.S. indexes deep into the red on Monday, the recent moves in the bond market have added volatility and concern to the market. The benchmark 10-year yield traded around 2.75 percent on Tuesday; it began the year trading near 2.4 percent.
The Cboe Volatility index — widely considered the best fear gauge on Wall Street — broke above 50 in early trading Tuesday before sliding down to 28.51. It closed at 37.32 on Monday. The surge in volatility also triggered massive selling in other volatility instruments.
The VelocityShares Daily Inverse VIX Short-Term exchange-traded note (XIV), which allows traders to bet against the VIX, lost nearly all of its value on Tuesday. Credit Suisse, which sponsors the ETN, said it will end trading on the XIV on Feb. 20.
—CNBC's Patti Domm contributed to this report
What are the odds of that?
It’s funny the things they attribute market swings to. Everything, they figure, is caused by something, so to keep our phony baloney jobs, we blame fears of interest rate hikes (Does anyone really believe we should stay at zero interest? Give savers a little reward and provide a cushion for the next time the economy needs a boost.), the Nunes investigation which has gone on much too long to be any sort of financial tipping point, or the numbnutz who blamed the tax reform for it.
Sometimes the timing of a market move can be attributed to a particular event. Most of the time, that is not the case, and these idiots are just that: Idiots reading chicken entrails who, if held accountable for their blithering prognostications, would have been jailed for fraud long ago. It’s astrology with money.
Think of the market today as, “Wall Street is having a sale,” and buy into it. Trump’s policies and the underlying economic boom that is forming will reward you well for it.
Media won’t call it a Trump bounce, but they sure as heck blamed Trump yesterday when the dow fell..so its like this with the Commie media, when the Dow does great its because of Obama, when the dow does lousy its because of President Trump
They were too quick to label it the “Trump Bump” when it looked like the stock market was headed for a crash. Now that it looks like that may have been an anomoly, they’ll go back to giving Obama credit for the rise in the stock market.
Same for finance.yahoo.com this morning. A screen full of anti-trump hit pieces. I finally got tired of seeing this crap every time I want just the S&P 500 number; so I used uBlock Origin's element picker to do cosmetic blocking on everything on the page except the stock ticker numbers.
Institutional and hedge fund traders do change their mind almost instantly. If you are day-trading billions, you might buy $200 million of the S&P in the morning, and sell it in the afternoon. If you made 1%, that’s $2 million.
Now picture thousands of guys sitting at terminals, doing this all day long....
I’m concerned with these companies with computer algorithms making trades, when they see unusual activity I’m not convinced that we have a handle on the collective dynamics they might cause...
“...It’s no way most investors change their minds that quick. Total B.S. by the Central Banks....”
IF true; whoever or whatever is/was “manipulating” it got their azzes handed to them today. Yeah, it was up & down like a yo-yo all day long. I bought and sold derivatives on one particular stock 3 separate times today...made money on every turnaround. We shall see what tomorrow and the rest of the week brings. Hopefully, some stability.
Paul Joseph Watson
@PrisonPlanet
Dow closes up 567 points.
I guess we’re back to thanking Obama?
Nice! I need to check out U Block.
CNN: “The markets were down earlier, in light of Trump policy, but they closed up in light of Obama policy. Now on to celebrity news . . . .”
Trump’s fault.
The dip was probably Soros wanting to get in on some low prices.
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And it was down 666 on Friday? That's it - Im investing in tinfoil !!!
P.S., I never noticed the duct tape chin strap before -
After watching what computer-controlled "portfolio insurance" did during the Crash of 1987, I was concerned that as computers got faster and faster, and the coaxial cables to the trading floor got fatter and fatter, that we'd someday have gigantic bull and bear markets happening at the rate of several dozen per second. Fortunately, there still seem to be enough inertia in the system that this isn't happening.
Going to keep an eye on this. Last time the market tanked there was a lot of volatility, several days of big swings, down 300 then up 350 then down 350 then up 300. Like market was fighting itself but momentum was down. The bears ultimately won but not before I moved lots of my money from stocks to bonds and preserved just about all of it when the market tanked. Then after it tanked I move it back to stocks, bought the it back cheap. This is starting to resembe that; correction coming?
Understand that this is pure profit taking on stability.
The 2008 crash was a bunch of rebundled crap house loans sold to Europe as prime. We don’t have that junk anymore.
uBlock is unrelated. What you want is uBlock Origin.
To do permanent cosmetic blocking of part of a page, click on the uBlock Origin icon, click the eyedropper thing, move the mouse around until the largest possible region of unwanted material is highlighted, click, move the mouse to the lower right corner, and then click "Create". Repeat until as much of the page as you want to erase is gone. If you screw up or want to undo it, go the the "My Filters" tab on the uBlock Origin dashboard and manually erase the rules you don't want to keep.
Dead cat bounce”
Cuz, ya know, after eight years of 2% economic growth GDP growth of 3.5% with expectations of 5-7% on the year is no reason for the stock market to go up.
/s
Classic correction. Leftist positions hardest hit.
Retail investors didn’t buy $2 bil. of DJIA core stocks in seconds.
Luuuzrrs
HFT, and the “yo-yo” effect. Wild swings until the feedback loop stabiizes. HFT algorithms react much faster than any human can.
They are busy nailing the windows of the DNC shut to keep the evil donkeys from jumping out of them.
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