Friends
As market participants await the announcement from the Fed’s FOMC meeting tomorrow, stocks drifted calmly in positive territory for the entire trading session. Other than a benign CPI number, traders are squarely focused on the Fed’s decision. Will the beginning of the taper be announced tomorrow afternoon? Most market watchers believe that some form of tapering will be introduced, though many believe the size of the reduction will be small in nature. Again, no one is expecting the punch bowl to be taken away any time soon, but a small reduction in the amount of punch that they are adding on a monthly basis is likely. We will see.
As for stocks, the Dow Jones Industrial Average was up 34 points to close at 15,529. The S&P 500 was up 7 points to finish the day at 1704. Gold was down $7 to trade at $1310 per ounce, while oil was down $1.13 to trade at $105.46 per barrel WTI. The bulls were able to recapture the 1700 level on the S&P. Now let’s see if they can hold onto it.
It seems likely, that we will see some volatility in both the stock and bond markets after the Fed announcement tomorrow at about 1:00 our time. We’ll let you know how the day plays out.
Have a nice evening everyone.
