Sept. 21, 2020, 11:00 a.m. EDT

Another Day, Another Market Selloff

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Sep 21, 2020 (Baystreet.ca via COMTEX) -- The S&P 500 opened down more than 1.5% this morning as the selloff continues from last week. Down over 9% from this month's all-time highs, the index failed to find support at the 50-day SMA.

Leading the selloff this morning is the Energy sector, down almost 4% overall in morning trading. Looking deeper into the Select Sector SPDR Trust Energy ETF /zigman2/quotes/206420077/composite XLE +3.74% , it's no surprise to find that all top 15 holdings of the portfolio are down significantly. The ETF's top two holdings, Exxon Mobile Corp /zigman2/quotes/204455864/composite XOM +3.78% and Chevron Corp /zigman2/quotes/205871374/composite CVX +4.31% , which make up around 45% of the ETF are both down over 3% after the opening bell. In my view, since I don't see any significant negative headlines on these main holdings, I'd conclude this sector selloff has [at least] two driving factors:

1) The overall systemic selloff of the market

2) The fact that Natural Gas (Nymex Oct 2020) futures are trading down over 14 cents to $1.90

Though it's hard to be an optimist during a weeks-long selloff, I do see potential support ahead for the S&P 500 at its 100-day SMA, which is currently at just under $3200 (around 3% below where we opened today).

COMTEX_371643073/2559/2020-09-21T11:00:24

Is there a problem with this press release? Contact the source provider Comtex at editorial@comtex.com. You can also contact MarketWatch Customer Service via our Customer Center.

/zigman2/quotes/206420077/composite
US : U.S.: NYSE Arca
$ 52.95
+1.91 +3.74%
Volume: 56.20M
March 5, 2021 8:00p
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/zigman2/quotes/204455864/composite
US : U.S.: NYSE
$ 60.93
+2.22 +3.78%
Volume: 51.43M
March 5, 2021 4:04p
P/E Ratio
N/A
Dividend Yield
5.71%
Market Cap
$248.55 billion
Rev. per Employee
$2.47M
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/zigman2/quotes/205871374/composite
US : U.S.: NYSE
$ 109.00
+4.50 +4.31%
Volume: 23.64M
March 5, 2021 4:04p
P/E Ratio
N/A
Dividend Yield
4.73%
Market Cap
$201.31 billion
Rev. per Employee
$1.98M
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