No Manic Monday, But A Toxic Tuesday
Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.
Instead of a Manic Monday, indexes across the board are undergoing a toxic Tuesday. The main culprit is the weak manufacturing data from China that was released when U.S. stock markets were closed. Mix in a weak close with a bunch of nervous nellies and the end result is approximately a 300 point loss at time of writing.
In addition, the USA Manufacturing PMI for August came in lower than expected (51.10 vs. 52.60 estimates), while the prior reading came in at 52.70.
That news snuffed out a rally off the open that retraced almost half of the S&P 500 indexes losses when it peaked at 1939.50. The ensuing decline found support at 1921.50 and the rebound has found intra-day resistance at 1930.75.
The index has not even come close to its pre-market low of 1914.00.
All of the top 10 components in the index are in the red. Leading the way on the downside is Exxon Mobil Corporation (NYSE: XOM) shares, which is following Crude Oil lower as it off by $3 at $72.24. It is followed by JP Morgan (NYSE: JPM) shares which are trading lower by $2 at $62.10.
See more from Benzinga
© 2015 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
