S&P 500 Snapshot: The Selloff Resumes

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Includes: BXDB, BXUB, BXUC, EPS, IVV, RSP, RWL, SDS, SFLA, SH, SPXU, SPY, SSO, UPRO, VOO
by: Doug Short

The selloff resumed yesterday. The S&P 500 dropped at the open and declined through the morning to its intraday low during the noon hour, down 1.96% and close to the 50-day moving average. The index trimmed its losses for an hour or so and then traded sideways to close down 1.43%, which essentially erased Tuesday's 1.43% gain. Wednesday's action in US markets mirrored the trend in Europe, where the EURO STOXX 50 fell 2.14%.

Here is a 10-minute look at the week so far.

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Here is a daily chart with some volume highlights. Yesterday's high volume was to some extent a result of buying the dip, no doubt stimulated by the proximity of the low to the 50-day price moving average.

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The S&P 500 is now up 8.82% for 2013 and 2.60% below the all-time closing high of April 11th.

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For a better sense of how these declines figure into a larger historical context, here's a long-term view of secular bull and bear markets in the S&P Composite since 1871.