By Markus Heitkoetter
Today marked the 5 year anniversary of the infamous May 6th, 2010 flash crash. Although today was far less volatile, it was similar in that it was definitely a day for the bears.
After stocks opened slightly higher, they immediately turned south and spent the rest of the session in negative territory.
Although there wasn’t an immediate reaction, today’s private sector jobs report helped contribute to today’s slide after ADP Non-Farm Payrolls came in lower than expected. With 169,000 jobs added it was the lowest private jobs number in over a year.
Fed chair Janet Yellen also caused a stir in the markets while speaking in a panel discussion on finance. Her comments that “equity market valuations at this point generally are quite high” sent both stocks and bonds lower.
But looking on the bright side, it could have been worse! With stocks trading at lows of the day a late afternoon rally helped erase half of today’s losses.
At the end of the day the S&P was 9 points lower. With today’s .43% slide the S&P closed at 2081.15, the lowest lev
The DOW mirrored the S&P with a .48% slide. The DOW dropped 86 poi
While the NASDAQ dropped another .4% and is now trading 4% off of April highs, the RUSSELL managed to end the session in positive territory. With today’s .24% gain the RUSSELL was the only major index to end the day in positive territory.
After a bad private sector jobs report traders will definitely be keeping a close eye on Friday’s Jobs Report.
The U.S. dollar continued its slide today. With a 1% drop the Dollar Index (DX) is trading at lows not seen since February.
Today’s move was good news for PowerX traders who were looking for an ADR Profit Target at 94.345. With today’s close of 94.215 DX easily traded through this target.
A PowerX Method Sell Signal was identified on April 20th.