As I frequently say, providing live commentary on market moves is sort of like reporting on Brownian motion in a coffee cup — but that doesn’t prevent people (including me) from doing it and often making unfalsifiable statements.
Case in point: today. The major U.S. markets turned and tumbled at 2pm, going from record highs to a loss of around 100 points. So, why’d it happen? I was pinged by a number of people asking (and others answering), so I’ll just repeat a few:
- A popular ETF sold off at 2pm, and that took things down
- JP Morgan made negative comments on Baidu
- Selling programs (a personal favorite of mine)
- Comments from European Central Bank president Axel Weber, who said that Eurozone rates might have to rise
- An unnamed hedge fund was on the brink of closing (a perennial favorite)
- Investors realized that while Wal-mart was reporting good numbers, most of retail wasn’t
- Technology “profit-taking” (a blast from the past)
No-one cited Alan Greenspan, which was a Feel free to add more Popper-piquing excuses below.