The DJIA fell by 160 points to finish at 17823.07 and the S&P 500 was off 21.45 to end at 2058.90. The Nasdaq lost 41.39 points to close at 4736.05 and the Russell 2000 was lower by 8.36 to finish at 1204.70.
What's interesting is the DJIA lost 1.28% for the week and was down 0.03% for the month of December. The S&P lost 1.43% on the week and .42% for the month. The Nasdaq was lower by 1.47% for the week and 1.16% for the month. The Russell 2000 lost .86% for the week but was higher by 2.68% for December.
Remember, these indexes were mostly lower for the week and the month of December on the heels of Fed Chair Janet Yellen delivering the "drugs" to keep the markets moving higher. That makes me wonder if the Fed drugs are finally not working.
The S&P 500 Trust Series ETF (SPY) volume was higher than normal on the last trading day of the year, trading nearly 130 million shares. Of course, the volume on a down day appears to be higher versus those up days. That is not bullish.
In addition, there seems to be many negative daily and monthly divergences in the stock indexes that should have traders and investors staying cautious. These negative divergences are internal algorithm-based signals according to my internal process. They need to be recognized when developing a longer-term perspective on the markets.