- Groundhog Day Drives Stock Market 666 Points Below Ground: What that Says about the Frosty Season Ahead
… Now on to the impending global economic collapse
… So, the sun came out on the economy everywhere in the world, and yet most of the market gophers crawled into their holes this Groundhog Day — everywhere in the world — ostensibly because of a little change in interest on long-term bonds … and another few nuances in other nations. Consider the statistics of this week’s global face-fall onto the sidewalk:
* The Dow’s 666-point plunge on Friday capped the worst week for stocks in two years (for all of major US indices)!
* Thus, the Dow’s scored the sixth-largest daily point decline in its nearly 150-year history.
* In fact, the day ended with the Dow’s largest overall point drop since Lehman Brothers.
* The shares that ranked among the worst were the FAANG stocks, which have in the past few years reliably been the only stocks taking the market average up whenever others declined. (Apple forecast profit expectations about one percent below where economists were leaning and showed declining sales in units of iPhone — though, in dollars, sales were up. Apple is, in fact, in its own correction, having dropped 10% from its last high. Google’s earnings per share missed expectations, causing its stock to drop 5.3 percent.)
* As a result of all this, the CBOE Volatility index rose from 11.08 to 17.31.
* The VIX (another volatility measure) also took its biggest spike upward since August 2015 when the world experienced the Chinese flash crash due to devaluation of the yen.
* It was the worst week in stocks for two of China’s major indices since 2016, too.