Thursday’s 43.88 pt. plunge in the S&P 500 was the worst one day drop in actual points (not percentages) since August 2011. That was when the U.S. got their debt downgraded. Volume was not out of the ordinary either so there is no sign of a capitulation sell off. Reasons for the plunge vary widely but most explanations tied back to sinking price of crude oil, China slow down or worse, and fear of the Fed raising rates, etc. As they say the usual suspects. The Dow lost nearly a hundred points in the last 15 minutes. It felt like margin call selling into the close.
Now that earnings season is winding down, there is a little more insider buying but nothing to get the animal spirits aroused. Notable buys recorded at the SEC yesterday include Director Fred Hassan purchase of $501 K of Amgen at $166.63, COO Paul Blanchard’s purchase of 50,000 shares of Panhandle Oil & Gas at $16.49. If the rout continues, as I expect it will, there will be quite a bit more to pick from.