The S&P 500 has extended its decline to 1.5%, or 70 points. It would be the first 1% decline in two months if it holds up in the final 30 minutes of trading.
Dip buyers have been a near-constant in the market this summer but the debt downgrade along with uncertainty about the Fed ahead of Friday's jobs report led many to take some off the table today.
SPX 10mins
I think the downgrade does matter but it won't really matter until the economy starts to stumble and there's a need for fiscal help.