We told you to watch and see if there was a late-day surge. There wasn’t.
In fact, there was a late-day selloff, with the Dow losing over 107, and all the major indices falling around 1.2%. The kind of action seen yesterday and today is dramatically different than what we saw over the past several weeks.
And it’s not like the news was all that horrible today. Best Buy (BBY) had a decent earnings number, housing starts put in a surprise upward spike, and the PPI was tame.
A few weeks ago, these would’ve been bonafide green shoots. But as we said last week, the market now needs to see more than just second-derivative green shoots. It needs to see actual green stalks. And so far there really haven’t been any.