Friends
In what is likely to become the norm for a while, it was another wildly volatile day for the markets. Tariff declarations sent stocks tumbling at the open of trading, but a pause with Mexico helped turn a sizable downturn into a small gain by early afternoon trading. But stocks slipped in the last hour of trading though by the close stock losses were muted and market participants were waiting to hear how the late afternoon meeting with Canadian officials went with regards to enacting tariffs or taking a pause.
For the day, the Dow Jones Industrial Average was down 122 points to close at 44,421. The S&P 500 was down 45 points to finish the day at 5,994. The Nasdaq Composite Index was down 235 points to close at 19,391. Gold was up $22 to trade at $2,857 per ounce, while oil was up $.30 to trade at $72.83 per barrel WTI.
Yes, we always focus on the economy, corporate earnings, and the Federal Reserve monetary policy, but headlines out of the White House are likely to be the leading driver for the markets for a while. None of this should deter our long-term objectives. Most will turn out to be just short-term noise. The entertainment value might be high, but any meaningful effects on our financial game plans will likely be few. For new money needed to be put to use, volatility can be useful. Buckle up, the ride ahead is likely to be quite bumpy.
Have a nice evening everyone.
Jim
