I know the DOW has been down big all day, but it was off by 300 right before 3pm and off by 500 right after 3pm before rising slightly. Were there automated sells at 3? Is this a common occurrence?
2007-02-27 07:29:33 · 4 answers · asked by vejjev 2 in Business & Finance ➔ Investing
Yes, I understand that the record decline in the Chinese market, combined with general malaise with oil prices and talk of a correction (self-fulfilling prophesy anyone) led U.S. investors to run for the doors all day in the DOW. But at 3pm, the decline was particularly steep. That specific decline could have been caused by:
a) glitch
b) temporary panic in investors
c) automated sells
d) something else
I'm just curious as to what could have cause that very precipitious and temporary decline at 3pm.
2007-02-27 07:46:27 · update #1
According to Briefing.com/Yahoo Business market update:
"The major averages are bouncing off recent lows, but only after a recent spike lower knocked the Dow down another 250 points in a matter of minutes. At the top of the hour (3pm), today's trading curbs were released only to queue up a series of program trades that sent stocks tumbling even further."
2007-02-27 09:25:24 · update #2
The NASDAQ and NYSE had record breaking volumes today. When they switched computer systems to handle it, the quotes were actually running about 2 hours behind. So, when you saw that it was down 500 points, although it was down that much at a certain time today, it didn't jump like it looked like it did. It was just lagging. It was just a crazy technical problem!
2007-02-27 11:30:23 · answer #1 · answered by mychelleb25 2 · 1⤊ 0⤋
It was more than China that caused the drop.
All the announcements were made at once.
Each announcement caused a decline in a specific area.
All those areas combined into one big decline.
When the big decline started happening, it has a ripple effect across the board. Orders are then sold at a specific low rate.
Automated sells happen when the stock hits a price. Not the time of day.
2007-02-27 07:44:40 · answer #2 · answered by Anonymous · 0⤊ 0⤋
The Dow has been down all day today, kicked off by the 9% decline in the Chinese market.
2007-02-27 07:36:12 · answer #3 · answered by amykins89 2 · 0⤊ 1⤋
China dropped 9 %today..The US followed
2007-02-27 07:34:17 · answer #4 · answered by dwh12345 5 · 0⤊ 1⤋