The Bears Finally Enjoy A Day In The Sun

The market finally experienced its overdue selloff today. Large-caps fell -1.36%, while small-caps are down -1.92%. Semis, biotechs, and homebuilders are all down more than -2.0% on the day.

One of the silver linings for today is that the ARMS Index soared as high as 2.30, and the CBOE put/call index was well above 1.0 all day. This is good because it shows the investor fear picked up almost immediately. I would be more worried if this selloff was met with overwhelming complacency.

I suspect that this selloff will last a few days, with some weakness from overseas markets as well. But I believe that it will be another mild pullback, not like the correction that began in May of last year and endured for several months.