Catching People Off Guard

The severity of this selling I believe is catching people off guard.  We just broke into the upper 1130s on the S&P 500, and are posting nearly a 5% loss.  Reminiscent of the action early last week.  When I mentioned the support levels of 1120, I did not think we'd get within a whiff of them today.  Incorrect on that front.

The Philly Fed was a disaster: -30.7 v 4.0 expectation! Not usually a report one cares about much but the degree of miss has unnerved people on an already nervous day. BespokeInvest blog says it is the worst miss versus expectations since at least 1998.

I continue to give ECRI heavy credit - they called this 'slowdown' before any of the intermediate to near term data points really weakened.