Don’t tell anyone, but a big part of today’s sizable 38 point drop in the STI surely had NOTHING to do with:

1. the US debt crisis
2. the US PMI crisis
3. the US employment situation crisis
4. the EU debt crisis
5. the China overheating crisis
6. the Japan reality denial crisis
7. the Australian housing crisis
8. the Brazilian stock market crisis
9. your favorite crisis of the moment

What’s more, today’s drop was largely predictable and interestingly reflexive.

Predictable - Today was the day SIA went XD, with a special dividend to the tune of $1.40 per share (on a share price of about $14). This was preannounced weeks ago. Today it ended $1.74 down, or 12.15%.  As a component of the STI (try as I might I cannot find what the current SIA weighting is… grumble) SIA’s price drop is sure to have affected the STI, which is also a price ...