This miserable first week of trading for 2016 seems like it won’t ever end. Once again falling stock prices in China (that is quite a fiasco unfolding) fueled selloffs in overseas markets and led to futures down big before this morning’s open. Once trading began share prices fell and remained in negative territory for the entire trading session, sliding even further into the red late in the day.
By the close, the Dow Jones Industrial Average was down 392 points to finish the day at 16,514. The S&P 500 was down 47 points to close at 1943. Gold was up $17 to trade at $1109 per ounce, while oil was down $.66 to trade at $33.31 per barrel WTI.
Stocks did stage a small late morning rally when oil prices perked up for a short period of time, but once oil rolled over again, stocks followed suit. Mercifully, tomorrow is the final trading day of the week, and traders will have a jobs number to chew on. Basically folks, the stealth bear market that transpired in 2015 (we’ll discuss more in the upcoming quarterly outlook) now seems to be becoming more apparent. We’re getting quite oversold short term, so a bounce would not be a surprise at any moment, but it would appear that we have some work to do to get through this adjustment period. Stay tuned.
Have a nice evening everyone.