Friends
Another Monday, another European nation in debt trouble. Today’s contestant is Italy. As we have said for some time, this contagion will continue until Europe addresses the problem in total. Here at home, we need to address the debt problem also, and political posturing is alive and well. We will be watching this debate on a daily basis, and I am afraid the markets will be held hostage to this political wrangling.
Stocks had a very difficult day, as the Dow dropped over 150 points and the S&P 500, dancing happily above 1350 last Thursday, was down over 24 points to close just over 1319. We talk about the amnesia that the markets have day to day and week to week all the time and the roller coaster ride continues. Alcoa just reported after the close, and it looks to be a pretty good number. Earnings season, along with the continuing debt concerns here and in Europe, will most likely set the tone for the next few weeks.
We’ve sent out our 3rd Quarter Outlook today, so look for that. Clients will receive a hard copy in their 2nd Quarter Summary Statement which should arrive next week.
Have a nice evening everyone.
