Market opens flattish to start the new week. And it’s an important one. Three major central banks meet this week, with the future of monetary policy to combat the economic slowdown the focus. Investors will be studying the Fed meeting on Wednesday very closely. Stocks have remained elevated as investors view a supportive Fed as a backstop to asset price declines. The May selloff has brought strength in June, which is tracking to be the best month for stocks since January. The DOW and S&P are within spitting distance of their all-time highs again. Trade tensions continue and it sounds as though there is next to no chance for a deal to be announced in Tokyo at the G20 meeting. Talks have broken down. Wilbur Ross worked back any optimism of an imminent deal over the weekend. You would’ve thought the Market would decline off this headline, but the Fed is more influential than anything else these days. Pfizer is buying Array, showing companies are still interested in acquiring growth and see value in this Market. Oil is lower, as is the Dollar. Interest rates and Gold are flat. Expect a lot of sideways action until Wednesday.
Have a great morning,
Mike Frazier
