Friends
While bond yields continue to drift lower, confounding market participants, stocks reacted positively to the Fed minutes that were released this afternoon. The takeaway from the notes was that while discussing the all-important asset purchase program Fed officials seemed to feel the standard of substantial further progress has not totally been met yet. Translation, QE will continue for at least a while longer.
As for stocks, by the close the Dow Jones Industrial Average was up 104 points to finish the day at 34,681. The S&P 500 was up 14 points to close at 4,358. The Nasdaq Composite Index was up 1 point to close at 14,665. Gold was up $11 to trade at $1,805 per ounce, while oil was down $1.34 to trade at $72.03 per barrel WTI.
I guess the takeaway from today’s trading session is that the Fed is not yet going to back off their extremely (some say way overdone) accommodating monetary stance. Of course, all of this liquidity that the Fed is supplying continues to be fuel for risk assets. Music to the bulls’ ears.
Have a nice evening everyone.
