Why such a bad end of May & start of June?

[street]

What has been the culprit for DJIA heading south in the last week?

 

[GrayHare]

"sell in May and go away"?

 

[aja8888]

Could be profit taking or just letting the air out of the overinflated values.

 

[OldShooter]

There is no reason. Short-term price behavior has been repeatedly shown to be almost perfectly random. That's why stock-picking doesn't work. No one can predict random. The long-term trend is your friend. That's why buying and holding a diversified portfolio does work.

Actually, the foundation of Modern Portfolio Theory is that asset prices are random. That model underlies such things as the Efficient Frontier.

 

[foxcreek9]

Maybe too many people are reading Bloomberg

https://twitter.com/x/status/1797638606762524718

 

[Dawg52]

Who knows......but a 40,000 DOW is probably a psychological barrier that's going to be hard to push through.

 

[FREE866]

Anyone claiming to know exactly why stocks move up or down on a given day or week is delusional.

 

[Al18]

Many business leaders were looking for signs the Fed was going to cut interest rates soon. I think many leaders are resigned the cuts are still a few months off

 

[aja8888]

The news about the possibility of more hurricanes this year than last probably spooked the markets! That's my guess, anyway!

 

[street]

What I have found is Feds maybe increasing prime again because of inflation is still a real factor. More for interest for borrowers and cost more to do business is what I have found.

I know the ups and downs happen and I'm not concerned about any of that. I been investing for over 40 years, so my risk level is very high.

Just was wondering what your thoughts were on this dip and a maybe cause.

 

[PlayinwithFIRE]

signs , signs, everywhere signs !

 

[target2019]

DJIA (-1.17%) past 5 days

S&P500 (-0.61%) past 5 days

NVDA (4.29%) past 5 days

 

[audreyh1]

I notice that end of month often reverses the overall month trend. Profit taking if up, buying if down. No big deal.

You can’t look to some specific reason.

 

[EastWest Gal]

Maybe too many people are reading Bloomberg

https://twitter.com/x/status/1797638606762524718

That was a technical glitch.

https://www.cnn.com/2024/06/03/investing/new-york-stock-exchange-technical-issue/index.html

 

[FiveDriver]

What has been the culprit for DJIA heading south in the last week?

I like to follow a broader-based index the the Dow 30.

I like the Russell2K Growth, or the ETF IWF. It's up 2.2% in the past month and up 18.6% in the past 6 months.

 

[Koolau]

The DJIA is down? Didn't notice. No longer watch financial porn on TV and gave up my last "financial" magazine. I don't get alerts on my phone - DD was able to get that all turned off.

YMMV

 

[Time2]

I don't pay much attention since after the covid down turn ended. It was a thrill from 2012 to the start of 2018, when my average gain per market day was about $650. Lost interest when the market was going down. Now, I usually find out what the market has done from a buddy at breakfast once a week!

 

[aimee750]

Early summer slump?

 

[Closet_Gamer]

I think the world is hyper focused on rates and haven’t been getting the signs they hoped for.

More generally, I agree with OldShooter. There may be no real reason.

 

[TheWizard]

Stock indices were down to give folks like me a Buying Opportunity.
But they weren't down nearly far enough to allow my VOO limit order to execute...

 

[foxfirev5]

"When asked what the market will do: It will fluctuate" JP Morgan

 

[aja8888]

Nobody knows nuttin'.....

 

[street]

A lot of articles on the stock market is shrinking. Here just one article from just one source.

People are exiting the stock market in droves

The summer months are usually relatively benign for markets as investors opt for sandbars in lieu of bar charts, but that’s not happening this year.

finance.yahoo.com

 

[aja8888]

Street, don't fret over it as it's only money when you have to sell. Otherwise, it's just numbers (digits) on a website.

 

[Ronstar]

As long as there is high inflation, high interest rates, excessive government spending, and over regulation, there will be a drain on corporate profits, which eventually shows up in the DJIA.