I think most of the elevation near the close was the bigger players buying back their shorts.
Maybe not, but a considerable amount of damage has been done to the charts this week. It will be awhile before we see 26,000 again, methinks.
A 26,000 high is unsustainable. We’ve been tempting a correction for awhile. QED dollars are easy and cheap, fueling riskier and riskier bets by investors. Signs of inflation have been popping up for months, but investors looked the other way to ride the gravy train. Now, wages have surged, bond yields are rising and commodity prices are starting to climb - and finally the investment class took notice. Probably because the easy money may start drying up.
Overall economy remains strong, with consumer and business confidence high and corporate earnings setting records. Housing bubble hints at need for small rate hike, but the market is finding its equilibrium.
26500 will settle as the new floor after the next couple of weeks