Whoa, so the market really didn’t like the Hillary Clinton announcement. Not really, but since the media will come up with all kinds of reasons why the market tanked — the official recession announcement finally arrived! — we figure that’s as good a reason as any.
We’re worried that we’re slouching towards Karachi, and a stock market that can’t fall without provoking massive government intervention, like banning shorts or banning downticks. Think about it, Citigroup was down 20% today. It can’t have many more days like that before the Feds will need to intervene once again. That move was fairly typical, actually, of other financials.
Despite the carnage, the gunmakers Sturm Ruger (RGR) and Smith & Wesson (SWHC) did actually hold onto gains. We’re tempted to make a joke about an, ahem, defensive portfolio.