Stock Market: A Crazy Monday

Like some games this weekend: fall behind quickly, things get worse, recovery to eke out a win.

The craziness of the football weekend extended to the stock market, which plunged Monday (the Dow Jones Industrial Average fell over 1,100 points) then recovered to close slightly higher for the day.

Yes, I know that these phenomena should not be related, but what do we really know, dear reader? What if the simulation is just playing with us, to see the reactions of the laboratory mice as the rules of reality break down?

In the meantime for conservatism's sake, I have to assume this reality--let's not get distracted by the infinite possibilities of the multiverse either--is the one that counts. And the reality is that the stock market slide since January 1st has hit the portfolio about 10%. When the NASDAQ fell mid-day another 5%, it sure seemed like a "selling climax."

Your humble and oft-humiliated blogger-investor put a small amount of money into a high-flying stock that had fallen over 30% this month and was pleased to see that it bounced 10% higher before the close. The investment was fun, a spark of light in the gloominess. Let's hope the rise continues.

Update - 7 a.m. PST, Tuesday: the indices are down 2-2.5%, which doesn't surprise. There are too many negatives weighing on the market (higher interest rates, threats of war, supply-chain issues, the Great Resignation). It will be a nervous climb higher.