It’s hard to imagine a time when there has been such a transformational shift in sentiment in the span of less than a day. Heading into the close yesterday, equities surged on optimism that the Remain camp would come out on top in the UK referendum. As the polls started coming in, though, it became clear that Brexit would come out on top. So, after closing within 1% of an all-time high on Thursday, the S&P 500 fell over 3% today, and compared to the rest of the world, we got off easy!
Today’s decline marks only the sixth time in the S&P’s history that the index closed within 1% of an all-time high on one day, but then closed down over 3% the next. In a B.I.G. Tips report just sent to Bespoke Premium and Bespoke Institutional members, we detail the historical reaction following prior occurrences where the S&P 500 fell so much while trading so close to an all-time high. Read the full report by signing up.
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