Midday market 04/25: Macro fears return to Wall Street

Sentiment on the stock market returns quite bleak this morning with selling pressure appearing right from the opening bell. Investor sentiment pushed down deeply after UPS's overly disappointing financial report, clearly showing pessimism from macro factors for 2023. Not only UPS, FRC also plunged more than -30% yesterday after ER report showing this bank lost over 40% of deposits in the just-ended Q1, raising temporary concerns for regional banks. SPY pushed down near 408 while QQQ pushed back to 312. Meanwhile, pressure from VIX calls mentioned in the noon post starts to take effect as VIX suddenly surges nearly 10% in the morning, amplifying pressure from the negative flow in the morning panic sell. Currently, VIX call volume still on track to return near the highest level in history during the COVID crash.

Signs for “Sell in May and go away”