With Wednesday's action resulting in a close at session lows, yesterdays early decline started to take the look of something different. Two consecutive days of downside has not been part of the recipe for the most recent move to record highs. A close at the low of the day, also was not part of the recipe. Prior to Wednesday the market had closed at session lows only once previously in 2016. Was the market setting up for the first correction since the move off the Brexit lows in late June?
Morning Thoughts
Just a Minute
Friday Focus: Till Debt Do Us Part
We had a trifecta yesterday for the stock market. Unlike a horse race trifecta where there is a 1st, 2nd, and 3rd place, a stock market trifecta is one where everyone finishes in first place. Everyone wins! Right?
Isn't that the world we live in. Everyone wins. There is no second place, and most assuredly no last place. Our society has fostered a mentality that failure is impossible. Win or lose you win, winning is the only outcome. A medal for everyone. And in such a world reality becomes impossible to stomach. Central Banks around the World are in the business of doing the same thing. Failure is not an option.
Real Quick
Markets continue to sleep walk through this week. It was last August when the cracks were forming in the market. We had a massive collapse at the end of the month. This time around volatility continues to leak lower. The intra-day action chops around in a narrow range. And over all price action is non-descript.