The market started in red but then rallied hard; by midday, it was in green. I hoped for a slightly down day today, and it seemed it wouldn’t be happening. The market looked like it would end on another green day. But 30 minutes before the end of the session, it suddenly snapped and literally collapsed. There is no point speculating why it happened. My only suggestion could be that investors took profits off the table because tomorrow before the market opens, we will have Producer Price Index data reported. If that comes out bad, the profits could evaporate. The VIX futures are still very positive, so the rally will continue if the PPI is good. If it comes out bad, we may see a pullback. But even if a pullback comes in, it will probably be bought, and the index will end in green again.
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