Near 2:00 pm ET, the Dow was down about 380 points, the S&P 500 was down 46 points, and the Nasdaq was down 98 points.
The major indexes were off their lows, but still down 2% in a bad start to September, which is traditionally the weakest month of the year for the stock market.
In an afternoon email Rich
Barry, a floor governor at the New York Stock Exchange, said that one
big thing could make the final 10 minutes of trade even uglier:
buybacks.
Barry noted that word on the Floor is that corporations buying back stock are a big buyer today.
And if this is indeed the case,
the final 10 minutes of trading could be ugly because corporate buyback
orders have to be canceled at 3:50 pm ET; the closing bell rings at 4:00
pm ET.
And so if the big supporter of
stocks — which, all things considered, isn't doing much for the market
given the big sell-off — steps away with 10 minutes to go, a complete
lack of buyers could see bids tumble into the close.
DOW -545 CALL
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