Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Flagstar Bancorp
So what: Panic hit the streets for a few minutes today after 2.5 million shares were sold in a trade around 10 a.m. Eastern time. The move wasn't based on any news, and shares have already recovered all of their losses and then some in trading throughout the day.
Now what: When a trade like this goes through, I like to blame it on a fictitious man name Fat Finger Freddy who sometimes types an extra digit or two into trades. Maybe it wasn't Freddy and someone just wanted to get out ASAP, and their market order blew through all of the bids waiting at the exchange? No matter what happened, long-term investors shouldn't panic as sanity has already come over the market and shares are back to normal trading.
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Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
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