Friends
While waiting for the Fed decision which will come tomorrow early afternoon, stocks added to yesterday’s gains. Once again, whether market participants are buying because of the expectation that the Fed will begin the tightening process tomorrow, or because they kick the can down the road again, I really can’t say. I guess we’ll find out tomorrow. The move itself/ or lack thereof is somewhat meaningless, but the reaction will be the news story.
As for today, the Dow Jones Industrial Average was up 140 points to close at 16,739. The S&P 500 was up 17 points to close at 1995. Gold was up $16 to trade at $1118 per ounce, while oil was up $2.57 to trade at $47.16 per barrel WTI (rumors of American boots on the ground in Syria helped). Bonds continue to sell off as yields inch higher before tomorrow’s announcement. The 10 year Treasury Note traded at a yield of 2.30% today.
On the economic front, the CPI came in soft but within the range of expectations and could give the doves some ammunition in the FOMC meeting. The Housing Market Index showed optimism among the nation’s homebuilders and remains at decade highs. But the FOMC meeting is what traders are focusing on, and it, of course, winds up tomorrow. We’ll let you know how it all plays out tomorrow. Stay tuned.
Have a nice evening everyone.
