Wk 27 wrap..7 Jul 2018 07:33
Mostly up/mixed closes for mrkts on Friday and over the week trended upwards despite the implementing of tariffs on China imports which could escalate alarmingly. The trade war with China has begun. China retaliated by slapping taxes on over 500 US goods. Add in all the other economic & political concerns its a heady brew of negatives the market is having to deal with anyone of which could trigger a huge mrkt correction....October anybody? The nos: G fell 37(-14%) on the wk and oil was off $2.13.
Ftse (-19) -A/S (-15) - 250 (-213)
S/c (+11) - Aim (+5). In N.Y the Dow added 185 - S&P (+42) -Nsdq (+178) & R2000 (+50) on back of 213k jobs being added. Gold closed $1255 - £$ 1.329 and for the B'conners $6605. Dow & ftse futures see a positive start to wk28 trading. Vix closed at 13.37. A reminder re: Vix the 'fear' index (bearish/bullish bets on the S&P). A no below 20 sees less volatility and a calmness in the markets, Vix is down c.15% this week well below the historical av of 19-20. This implies that investors worries over trade clashes damaging mrkts are ebbing. As you'd expect its a volatile index and can jump 30-50% in a session so essentially a snapshot of mrkt sentiment at any given moment. When stocks rise Vix falls and vice versa. Have a good wk/end all and Go Engerland!!