Wall Street may not be the best place to point out a lack of gravity, because you might just walk outside and get hit on the head by a falling piano. There were surely many surprised by Friday’s drop, which seemed to be the result of a perfect storm of causes, not one of which on its own would be enough to send folks running, but combined were just enough to shake out the last remaining stops just below the SPY 208 level. Down-volume dominated the session, but it was much less a bump in overall volume then you’d expect for such a day of carnage (especially on options expiration). The bears that are celebrating the lack of buyers should take note that most of the big boys have already been in (and buying) since the end of March and haven’t given up the ship just yet. As Dylan once said you don`t need to be a weatherman to know which way the wind blows (I wonder what was in his portfolio), but it takes more than a few gusts to knock out the mighty north wind. -MD
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