S&P 500 Snapshot: Worst Week Since May 2012
Doug Short | Aug 01, 2014 06:31PM ET
Friday's market was subject to a veritable flood of economic data: The July Employment Report, Personal Incomes and Outlays, ISM Manufacturing and Michigan Consumer Sentiment being the most familiar. After yesterday's two percent plunge, the market was clearly confused. The S&P 500 opened lower, rallied for 30 minutes to its 0.35% intraday high and then sold off to its -0.74% intraday low shortly before the noon hour. During the afternoon it recovered to a fractional gain and then slipped to its 0.29% closing loss. The index was down 2.69% for the week, its worst weekly decline since its -3.02% selloff at the end of May 2012.
The yield on the 10-year Note closed at 2.52%, down 6 bps from the previous close. It is now 8 bps above its interim closing low of May 28.
Here is a 15-minute chart of the week. The S&P 500 is up 4.15% year-to-date.
Here is a weekly chart of the index since 2012. Volume for the week was 23% above its 10-week moving average. I've highlighted a pair of weeks in May 2012, the 3.02% selloff mentioned above and the 4.30% selloff two weeks prior. Incidentally the trough of that 2012 selling was on June 1st, a decline of 9.9%.
A Perspective on Drawdowns
The chart below uses the percent-off-high strategy for illustrating the drawdowns greater than 5% since the trough in 2009.
For a longer-term perspective, here is a pair of charts based on daily closes starting with the all-time high prior to the Great Recession.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.