A stock market correction may be in order as, lately, investors seem to have been excessively optimistic. Last week, stocks experienced their first weekly decline in 6 weeks. And, today, the drop in stocks continued with Tesla finishing the day down about 21% and Apple down about 7%. As the stock market declines, economic data is still looking positive - Labor Productivity, Jobless Claims, Manufacturing Growth and Small Business Optimism are all beating analyst expectations. In a shortened week ahead, investors hope to end the stock market rout and look for some guidance from a few helpful indicators like Mortgage Applications and various Economic Surveys - including Jobs Openings and Service Industry Revenues & Expenses.
Although, this recent stock sell-off is frustrating for most, global stock markets are still showing strength via their long-term price (200-day) trends.