We’re always looking for a reason why stocks rose or fell, and sometimes it’s as simple as one single stock. In this case, it would be International Business Machines (IBM)
Yes, the S&P 500 declined 0.2% to 2,338.17, while the Dow Jones Industrial Average dropped 118.79 points, or 0.6%, to 20,404.49. But the Nasdaq Composite advanced 0.2% to 5,863.03. And much of the difference can be explained by IBM’s 4.9% decline today, which accounted for 57.25 points of the Dow’s loss, but none for the Nasdaq.
Still, the Dow and the S&P 500 have dropped for five of the last six days. FBN’s Jeremy Klein contends that the market is “at the mercy of machines,” at least for the time being. He explains why: