Tale of the Tape
It is safe to say that the markets are crashing.
We closed down 9.51% on the day and we’re now down 26% on the S&P 500 from the February 19, 2020 high close. That’s a big chunk for those who are investing, whether they are saving for retirement or trading for fun.
Everything got dinged as zero stocks in the S&P closed higher on the day. The worst-hit sectors included energy, financials (more below), utilities, and industrials – all down more than 10%.
We don’t often give advice in this space but here goes – take care of yourselves. Get some rest, stay close to the people you care about and look out for them, get outside in nature if you can and move your body. Things have gotten weird and could get weirder so you’ll need to be at your best not only for markets but for life.
Speaking of getting weirder, New York City has declared a state of emergency.
Stocktwits Social Sentiment
Here’s an updated look at Stocktwits Social Sentiment. As you can see sentiment continues to grind lower. No shocker here. Social sentiment is now lower than it was during the December 2018 correction.
Bitcoin, “The Safe Haven”
Bitcoin got gut-punched and traded down 25% in a single day. It is now down 70% plus from it’s all-time high and -18% year to date. If a currency, even a cryptocurrency, has this type of volatility plus it appears to correlate positively with stocks during a crash, it is impossible to say it is a safe haven or store of value.
A Quick Conversation with Brian Shannon aka Alphatrends
$XLF Negative Since January 20, 2017
Financial Sector Spider ETF, $XLF, is down 13% from Trump’s inauguration. Quite the ride it has been.
Sports are Cancelled
Last night, while games were still being played, the NBA decided to suspend the season after Utah Jazz center, Rudy Gobert tested positive for COVID-19.
Here’s Dallas Mavericks owner, Mark Cuban, as he reacts to the news:
March has been madness and unfortunately, we won’t get to enjoy any NCAA basketball. ☹️
Disneyland Is Closed
This evening it was reported that Walt Disney Company will close Disneyland in Anaheim for the rest of the month. The company also mentioned they will pay cast members while the park is closed.
Here’s the LA Times with more.
$DIS was down 1.5% after-hours.
Links that Don’t Suck
Global Conglomerates May Be Eyeing Your Sports Team. Look at European Soccer
Hello Darkness My Old Friend
Market Crash Aphorisms
The Relationship Between Recessions and Market Crashes