- Moving the markets
Red numbers were the theme this morning with the Dow and S&P 500 hovering below their respective unchanged lines with the former showing far more weakness than the latter. Resisting the early bearish mood was the Nasdaq, which maintained its bullish position, built on it throughout the session and ended it with a gain of 0.74%.
With bond yields rising today, but having shown weakness recently, traders drifted away from “value” investments in favor of “growth”—at least for the moment. Looking at the big picture, today was another quiet one, such as we’ve seen recently, and which is a sign of June’s historical trading patterns.
Of course, several concerns are ever-present, like looming inflation and potential moves by the Fed. Investor sentiment will be influenced by the Fed’s two-day policy meeting with the results due out around noon on Wednesday.
Hopes are high that the Central Bank will not announce any changes, but any future forecasts for interest rates, the economy and the elephant in the room, inflation, could easily affect market direction.
At the closing bell, markets were flat, but a last 30-minute ramp pushed the S&P 500 into record territory by the tiniest of margins, with the index ending the day up a puny +0.18%.
I expect more of the same until Wednesday noon, at which time the Fed will have hopefully clarified its near-term policy.Read More