WHAT A DAY! Today's market action was one of epic proportions, one that I was "lucky" enough to witness. The DJIA index was down more than 1,000 points intraday, with a cascading free-fall over the course of 20 minutes that saw the index lose nearly 600 points. In particular, Accenture (ACN) saw its stock price drop from $40 to $.01 in a single 2-minute candle! In the following rebound, also of epic proportions, the DJIA recovered about 400 points in less than 10 minutes' time. Crazy, huh? Here's a screenshot of major indices:
Well, now news agencies are reporting that erroneous computerized trading may be the cause of the wild swings that affected virtually every sector. Some exchanges, including the NASDAQ, have cancelled trades during the free-fall. I wonder what big-bank trader fell asleep on the "sell" button, haha. It'd be interesting to see what repercussions that this mistake will have on trading regulations, if any.
While my 401(k) took another body blow, my position in AUY mentioned in a post earlier this week recovered nicely as gold returned course upwards. Some pundits are calling for gold to reach new highs as investors seek safe haven from depreciating currencies.
I'll close today with a picture, from my trip to mainland China, of the Great Wall at Badaling Pass. It's rapidly approaching summertime and I feel the travel bug biting again. A new adventure would be a great opportunity for me to experiment with my upcoming DSLR camera! I will be posting more pictures from my trip in future posts so, enjoy!
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