It has been a long time since we have had a “significant” decline (shock) in the equity market. We are on day 57 in my Post Trauma Window. We have however seen a lot of volatility in the Nasdaq market. Google fines and visa uncertainties have contributed to a destruction of the Nasdaq led rally/strength. The Dow has taken over due to its earnings advantages when the dollar falls.
This new uncertainty has lifted the fear component of the S&P 500 fuel gauge. In aggregate, the index is now at attractive levels so we should study it to see if this is sustainable.