Why the Dow tumbled 600 points and the Nasdaq fell into correction territory for the first time in 2

[endicom]

Market Watch
Mark DeCambre
Oct. 25, 2018

A few short weeks ago the Dow industrials were on the verge of busting through another psychological milestone at 27,000.

However, all that momentum has evaporated as a sweeping downturn grips financial markets, sending the Dow Jones Industrial Average DJIA, -2.41%  tumbling more than 600 points on Wednesday and pushing the Nasdaq Composite Index COMP, -4.43% into correction territory for the first time since Feb. 11, characterized as a drop of at least 10% from a recent peak.

On top of that, the Dow and the S&P 500 index SPX, -3.09%  on Wednesday wiped out all their hard-fought gains over the past 10 months to turn negative for 2018.

More... https://www.marketwatch.com/story/why-the-dow-tumbled-600-points-and-the-nasdaq-fell-into-correction-territory-for-the-first-time-in-2-years-2018-10-24?mod=newsviewer_click

[endicom]

For now I have the more optimistic view.

Oil stocks could have been mentioned.

[Applewood]

Well, over the last week, my nest egg lost $9,000.  But @Frank Cannon and others here scoff.  I suppose they can all afford to lose that amount of money and they deride those of us who have to watch every penny as rubes. 

By the way, I don't have my whole nest egg invested in stocks, but I notice that my other investments are suffering too.  This is not a mere correction.  Something is wrong, but we are supposed to ignore this because it reflects badly on Trump and his stable genius in magically fixing our economy.

[Free Vulcan]

Well, over the last week, my nest egg lost $9,000.  But @Frank Cannon and others here scoff.  I suppose they can all afford to lose that amount of money and they deride those of us who have to watch every penny as rubes. 

By the way, I don't have my whole nest egg invested in stocks, but I notice that my other investments are suffering too.  This is not a mere correction.  Something is wrong, but we are supposed to ignore this because it reflects badly on Trump and his stable genius in magically fixing our economy.

You were saying the same thing when the market tumbled last winter. Then it rallied to new highs (which we were at just three weeks ago).

Did you think we'd forget?

[Frank Cannon]

Well, over the last week, my nest egg lost $9,000.  But @Frank Cannon and others here scoff.  I suppose they can all afford to lose that amount of money and they deride those of us who have to watch every penny as rubes. 

By the way, I don't have my whole nest egg invested in stocks, but I notice that my other investments are suffering too.  This is not a mere correction.  Something is wrong, but we are supposed to ignore this because it reflects badly on Trump and his stable genius in magically fixing our economy.

LOL. You lost $9K in a correction? You have easily one of the shittiest portfolios ever created. Maybe you should just stick your money under your mattress.

[Frank Cannon]

You were saying the same thing when the market tumbled last winter. Then it rallied to new highs (which we were at just three weeks ago).

Did you think we'd forget?

LOL. The poster was a big fan of the massive gains they got under Bush and Obama.

[Applewood]

I love you guys.  LOL 

[Free Vulcan]

I love you guys.  LOL

Were you saluting Trump when the markets were making new highs, just one month ago?

[endicom]

Well, over the last week, my nest egg lost $9,000.

There is no loss or gain until you sell.

[Applewood]

Were you saluting Trump when the markets were making new highs, just one month ago?

Nope because every time he decided to impose tarriffs, the market would fall.  His little temper tantrum tarriffs have done nothing, but screw up the markets. 

That said -- right now I don't know why the markets are dropping and apparently, neither do the experts. 

[Applewood]

There is no loss or gain until you sell.

It's $9,000 I don't have right now.

[Free Vulcan]

Nope because every time he decided to impose tarriffs, the market would fall.

And then they would go up again.

[thackney]

It's $9,000 I don't have right now.

The realities of own stock are you never had that $9,000, unless you sold it at that peak.  Only on paper, wins and loses.

[IsailedawayfromFR]

Nope because every time he decided to impose tarriffs, the market would fall.  His little temper tantrum tarriffs have done nothing, but screw up the markets. 

That said -- right now I don't know why the markets are dropping and apparently, neither do the experts.

Then you do not know what seasonal variations in the stock market are.  And I believe, in contrast to you, the experts do understand.

Here's a glimpse at an average chart developed over a ten year period.  October is the worst month of the year.