The stock market slumped on Monday as the S&P 500 ended lower by 0.7% with seven sectors in the red. Equity markets around the world started the new week on a mostly lower note. However, continued hopes for stimulus from the PBoC sent China’s Shanghai Composite higher by 2.8% to extend its gain over the past month to 25.0%.
693 stocks were down 4% or more for the day, 259 were oil & gas related names.
Meanwhile, the second-best performer of the month—health care followed the same pattern as financials. The sector received an early boost after MRK agreed to acquire CBST. IBB was higher by 1.6%.
Energy continues to get crushed and the sector is sporting the ugliest charts I’ve seen in years. I wouldn’t even try to try and find a bottom there yet.
Biotech continues to shine, but they may be in need a rest.
See you in the morning.