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Originally Posted by elkhunter11
The markets are opening strong, supposedly due to Biden doing well yesterday. Now to see how long the rally lasts.
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I think today is just a distraction away from the main driver of the correction. If you look at the sector breakdown on the SP500, healthcare is about 16% of the market. Healthcare stocks are moving bigtime on Biden. United Health for one is up about 12% on the fact that Bernie's chances for leader isn't looking so good.
I'm focusing on the virus statistics/narrative still, until news gets better (outside of China) I think we are still in risk off. Good chance we are going to continue to see these big day to day moves until things settle down. The VIX is still elevated but off its highs, I am still watching and waiting before adding anything. We are going to see another cut out of the Bank of Canada today in sympathy with the FED. I think in the long run the cuts are a mistake but who knows.