DAILY BASKET – NEWS COMMENTARY
US Markets Seem Undecided
MARSAL COMMENTS: After the Fed’s interest 0.25% rate raise, US markets seemed to continue with their upward move. However, they reflected some indecision. S&P 500 closed the week up, but it did fall the last couple of days. The Market seemed happy that the Fed indicated that it plans 3 rate hikes this year, instead of the 4 that the market was expecting – small blessings.
Gold rose slightly, which is not the natural direction in the event of higher interest rates. How long will it last?
There remain many unanswered questions and investor opinion should crystalize the coming week, after which a clearer trend should begin to form. Will the Trump administration succeed in rejuvenating the economy, reduce taxes, get funding for its mega-trillion Dollar infrastructure program?
GENERALLY: Positive, when assuming the US economy is actually growing.
NEGATIVE FOR: Bond and Treasuries’ owners.
POSITIVE FOR: The US economy.
IMPACT POTENTIAL: (Medium)
TIME SCOPE: (Short and Medium Term)
READ ORIGINAL: S&P 500 Limps to the Finish Line in Another Winning Week