The market suffered from some negative action Wednesday but the bears couldn't keep the pressure on into the close, which eased some of the pain.
The biggest negative was that the gap-up open was sold very aggressively. Good economic numbers out of China, positive news in the semiconductor sector and a willingness to shrug off a problematic earnings report from Netflix (NFLX) had the equity indices nicely higher to start the day.
However, things went immediately into freefall following the open due in part to a "sell the news" reaction and also continued pressure on healthcare and biotechnology stocks reflecting concerns about "Medicare for All." This proposal may never have a realistic chance of becoming law but it is a major talking point of certain presidential candidates and has provided a convenient excuse for some selling.
In addition to the weakness in medical-related stocks, there were problems in high-momentum cloud-computing names, although strength from Intel (INTC) and Qualcomm (QCOM) helped quite a bit. Apple (AAPL) celebrated the deal with Qualcomm, too, on the expectation that the company would now be competitive in the 5G area sooner rather than later.
It was a messy and mixed day as the indices avoided closing at the lows and some pockets of strength in bigger caps offsetting some very ugly action in groups like biotechnology. Still, there was enough strength to prevent it from becoming really ugly.
This market could use more rest and consolidation, but we need to stay vigilant in case things develop into something more dire.
Have a good evening. I'll see you Thursday.