🔴 Reddit is trading 4% down today as forced index-fund demand subsides

Reddit is trading at $145.63, down 4.00%, as post-inclusion forced index-fund demand fades.

• The August 14 rally followed Reddit’s addition to the S&P 500, effective August 18, creating substantial forced index-fund demand.
• That buying has now faded as investors take profits and mechanical demand subsides.
• Broader weakness from rising Treasury yields and softer U.S. equity sentiment is adding pressure.