After yesterday’s bounce in riskier bounce-worthy stocks, today the U.S. market is seeing a slight pull back. At 1:30 p.m. New York time the Standard & Poor’s 500 is off 0.34% and the Dow Jones Industrial Average is lower by 0.05%. The NASDAQ Composite is down 0.67% and the Russell 2000 small cap index has dropped 1.18%. A Dow stock such as Boeing (BA) that was up strongly yesterday has given back 0.28%. A bounce-worthy riskier stock such as Twilio (TWLO), up 4.28% yesterday, is down 1.69% so far today.
Some of the retreat is on understandable profit-taking in a market so volatile that three hours without a reversal constitutes stability.
But part of it is also an unwillingness to get ahead of the news with big reports on U.S. retail sales and Chinese industrial growth due tomorrow. Ahead of those announcements, the indicators have been shaky enough to raise doubts about these reports. And no one wants to be more exposed than necessary in case retail sales and Chinese growth disappoint.
