“The main purpose of the stock market is to make fools of as meny men as possible.”
The other day I pointed out the unusual weakness out of small cap stocks. I also added the caveat that it was likely not indicative of anything, which is about as close to a prediction as I’ll make in writing.
@michaelbatnick please don't ask me what it means, I don't know/care and the likely answer is nothing.
— Irrelevant Investor (@michaelbatnick) March 15, 2016
For the second time in four days, small caps are showing unusual movement relative to large caps, except today it is in the exact opposite direction. IWM finished up 1.5% while SPY finished up just 0.6%. This is just the 44th time we’ve seen this type of day since 2000; the last time this happened was December 9, 2014.
The stock market has an uncanny ability to make us feel ridiculous, so If you’ve been fooled eighteen times in the past few weeks, you’re not alone.
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