Investors were leaning the wrong way into the midterm elections. The prevailing sentiment was that the Republicans were going to take control of both the House and Senate and alter the course of politics. However, that did not come to fruition, although it has not been declared official at the time of this market update.
The index was in the red for the vast majority of the premarket session and was unable to come close to Tuesday’s close during the regular session. Similar to Tuesday, the collapse of Bitcoin to its lowest level since October 2020, quelled investors’ appetite for risk. As a result, the growth technology sector plunged and the big guns of the index tanked as well. In addition, a sharp retreat in Crude Oil had the oil services sector in retreat mode.
When the Noon EST failed to keep the index in the 3800, the pace of the decline accelerated.
The decline of 79.75 handles with a close of 3755.50 wipes out all of the gains and then some accumulated over the last three sessions.
The biggest winner of the top components was the smallest loser, Johnson & Johnson (NYSE: JNJ). For the session, the issue declined by $1.39 or 0.8% to close at $172.45.
That was much better than the cash index’s decline of 2.08%.
Tesla Inc. (NASDAQ: TSLA) was the biggest loser of the top components for the second day in a row. For the session, the issue declined by $13.71 or 7.2% to close at $177.59.
PreMarket Prep Stock Of The Day: Roblox Corp (NYSE: RBLX)
Improved user metrics for September didn’t flow down to the top or bottom line. Read more on RBLX here.
