By Bill Taylor-CEO, Fintegration/FintekNews & CIO, TLC Capital Group
9/28/16 Daily Closing Analysis – NASDAQ Fintech Index (KFTX)
Back down hard. Deutsche Bank cast a pall on the markets today as some large funds pulled money out of the bank (just to be safe, no problems…….it’s a little fire, please stay seated). That caused the NASDAQ KFTX fintech index to drop in sympathy with a loss of points closing at 1030.81 (-1.19%). Not so pretty.
Ironically only five issues moved +/- 3% intraday and none closed above or below that 3%. BOFI closed at 22.20 up .56 (+2.59%) and the only one up (note; this stock has been a yo-yo this week….down/up/down/up); ENV off .96 to 36.21 (-2.58%); LC at 6.08 -.16 (-2.56%) ; MKTX off 4.87 to 166.14 (-2.85%); and SSNC down .98 to 32.18 (-2.96%). With such big markets moves it would be expected to have more stocks breach a 3% trigger.
So, let’s explore how many of the KFTX index’s forty nine stocks had a +/- 2 point move. BR -1.99 (67.38) (let’s give it that .01); FDS -2.18 (160.21); FICO -2.22 (125.17); ICE -2.56 (268.40); MKTX -4.87 (166.14); and SPGI -2.54 (125.02). Again, only six issues with a 2 point+ move in a very soft market. Should be more.
Tomorrow (Friday) is the last day of the third quarter. Think what’s up beginning next week. Start of fourth quarter which will include two Fed meetings (interest rate hike?), a presidential election, earnings (soft?), an Italian vote (Dec.) on EU resolution (Outaly?) and maybe a bank failure (Deutsche). Get a good night’s sleep and a restful weekend. Gonna be fun.