Market opens lower again, after yesterday’s losses completely erased Monday’s gains. That’s been a theme as the DOW and S&P have been grinding for weeks with increasing volatility. Retailer’s continue to get hit with challenges in their business lines, much due to the Amazon effect. Target is the new victim this morning off their earnings report. The Consumer is clearly more selective in spending today. Global Markets were largely in the red overnight, with more concerns about a British exit from the EU and economic difficulties in China and beyond. Interestingly, the inflation data reported yesterday had very little impact on Treasury yields. One would think they’d be moving higher, particularly with more data to support another Fed hike. This indicates large money institutions are seeking safety in the Bond Market, which suggests more trouble ahead for equities. The Fed releases the minutes from the April meeting today. The Dollar continues its reversal higher and oil is holding the high $40’s. The S&P is back in the red for the year. Buckle up, we expect more turbulence ahead.
Have a great day.
Mike
