Let's talk about the markets because there's been a bit of whiplash so far in October.
So, how is the market looking?
As of intraday trading Wednesday, the Dow Jones Industrial Average was down 260.25 points, the Nasdaq Composite was down 68.42 points and the S&P 500 was down 29.28 points.
Bob Lang and Chris Versace, Action Alerts PLUS portfolio managers, explain the catalysts driving Tuesday's selloff and the technicals investors should watch going forward in the video above
Overall concerns are still present, such as inflation.
And, as TheStreet's Martin Baccardax noted, "Energy prices have been surging in markets all around the world this fall, with natural gas in the U.K. hitting a fresh all-time peak, as China moves to secure fuel supplies for the coming winter while an unusually low season for wind power generation in Europe, coupled by the closure of coal and nuclear plants around the region, has added to prices pressures already exacerbated by a surge in post-pandemic demand."
"The recent volatility should not be a surprise – how long have we have talking about the ‘seasonal weakness’ aka – volatility? Look, while the volatility has been somewhat modest overall – The S&P off 5%, the Nasdaq down 6.5%, the Dow off 4%, the Russell down 5%, and the Transports are down 8% off their summer highs… individual names have told a different story," wrote Slatestone's Kenny Polcari in his morning note on the markets.
"We’ve seen much more re-pricing in individual names – think BIG TECH – AMZN – 15%, AAPL – 10%, MSFT -7%, INTC – 21%, and the TECH disruptors are down even more….COIN – 18%, SHOP -22%, ARKK – 32% to name just a few…..all as investors reposition their portfolio’s as we move into what will be a new era – Less stimulus, rising rates, rising inflation, massive tax and spend plans in DC along with the Democratic proposal to force American banks to report every transaction greater than $600 in and out of your bank account to the IRS in an attempt to find anyone who might be trying to evade paying taxes..." Polcari wrote.