Friday, October 10, 2014

Economic Journal - Friday, 10/10/2014



(As of 7:20 am PST)
 
US stocks are off to a choppy start Friday, with all three major indexes on pace to finish with weekly losses.  It’s been a back-and-forth week for equities which has led to a spike in volatility. The CBOE volatility index (VIX), also known as the fear gauge, reached its highest level since February when markets shed 2% yesterday, the worst trading day in a year. Lingering concerns over the Federal Reserve’s next policy decision combined with a disappointing growth outlook in China and Europe has caused a flight to safety in recent weeks. The US dollar continues to surge as does the US treasury with rates on the 10 yr. dropping below 2.3%, the lowest levels seen in over a year. Oil continues its decline while gold is also lower on the day. International markets are broadly lower as well.  With little economic data to report today, investors are remaining defensive heading into the weekend.

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