RE: Would love to know why this happened.
I can think of the following reasons:
1) The Stock Market went up TOO HIGH TOO FAST and now it is trying to reach its reasonable valuation level.
2) Interest rates ARE going up and money is flowing out of stocks into cash.
3) The deep state is going down and is going to bring EVERYTHING down with them.
3) Money is realigning to companies not dependent of government contracts. Wells Fargo punishment caused a panic.
4) The DNC has no money.
#1 is called a correction. I don’t mind as long as the %% aren’t as scary as the big numbers. Remember dives of 500 - 600 when the Dow was at 12,000 so it makes sense that at 25,000 we would see 1500 point swings.
#2 I’ve heard and read a drive by analyst. They Fed is manipulating interest rates. Stocks are dropping and Bonds are rising. A sure sign of pending interest rate squeeze.
Thing is, large companies have had record earnings so what’s happening today is based on the future 12-18 months from now. It was a hell-of-a-run throughout the year. Companies giving bonuses, dividends, investing in R&D and capital equipment costs. We’ll have to wait and see if the market bears fruit with what Trump has done.
I’m sure this will be used to tarnish Trump and I’m not so sure the plunges weren’t helped along by influential people wanting to see a Trump crash, or worse it could be anticipation of a global trade war and resistance about the USA not giving out lopsided trade agreements.
Interest rates are not going up by themselves. I've been saying for a long time the politicized federal reserve has been increasing interests rates to crash the stock market and to then crash the economy and then hurt or help destroy Trump.
The federal reserve kept interest rates near zero for all of Obama’s term. And then start raising them as soon as Trump gets in .