Indices Diverge

Today’s market action is a bit of a head-scratcher.

Many of the major world indices (FTSE, Nikkei, All-Ords, TSX, etc.) are down at least 2 – 3%. Even the NASDAQ & S&P 500 are down around 2% but the Dow is holding ground at a slight loss. Energy sector getting sold off hard today. Probably a deleveraging move but I’m probably just rationalizing so take it with a grain of salt.

I don’t see any sign of capitulation in the US markets, which is the epicenter of the crisis. Still hoping for a major washout as some stocks are getting close to my wheelhouse, so to speak.

Update:Dow is now positive for the day.   The cynic in me wants to attribute this to “massaging” by the PPT as the Dow is normally viewed by the mainstream as a proxy for the economy.  Gold back under $1000 and oil under $110.  I hope it’s market manipulation by the PPT;  I’d hate to think there are actual money managers that stupid.

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