Monday, May 23, 2016

Economic Journal - Monday, 5/23/2016

(As of 7:15 am PST)

Comments from two voting members of the Fed this morning have markets backpedaling from their Friday highs. Boston Fed President Rosengren and St. Louis Fed President Bullard separately made statements that left the door open for a June rate hike. As we’ve witnessed throughout the entire month of May, the market seems set to trade in a range bound pattern with little conviction on the part of buyers or sellers to drive pressure in either direction. With earnings season winding down, we’re likely to remain in this pattern for the next couple of weeks with investors highly focused on Fed remarks and US economic data that could influence June’s rate decision. Speaking of data, the calendar is empty today with a report on new home sales set to be released tomorrow. Oil prices are slumping today, down over 1% to $47.90 per barrel on oversupply worries. Gold prices are down while the US dollar index is inching higher. In overseas action, Asian markets finished the day mixed while Europe is heading towards a negative close.


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