Monday, stocks in Asia and the U.S. closed flat on abysmal volume, and the VXO dropped 4% to close at 12.24. In Europe, stocks rose 0.3%. Tuesday, Asian stocks closed flat for the second day running. Here’s a good article from someone who worked inside the Fed. Of course, it could that be this guy is lying to just bolster the mystique of QE. Stocks in Europe closed down 0.6%. In the U.S. stocks lost 0.4% on low volume, but precious metals and their miners fell about 2%.
Wednesday, stock prices broke downward in Asia, falling 1.1% and in Europe 0.6%. In the U.S. though, stocks shot up 0.7% on low volume. Both the S&P 500 Index as well as the Dow Jones Industrial Average logged new all-time highs — again. All three major indices are flirting with major round number levels. The 10-Year U.S. Treasury Bond yield fell to close at 2.63, and the VXO dropped below the 12 mark to close at 11.90.
Thursday, stocks in Asia and Europe rose 0.8% as “investors” were cheered by Yellen’s dovish prepared remarks. When she finally testified before the Senate Banking Committee, she voiced the expected business as usual. In the U.S., stocks again rose 0.5% to new record levels on low volume to celebrate the “QEeen.” Friday, stocks continued their latest excuse to party on. Stocks in Asia jumped 1.3%, in Europe 0.3%, and in the U.S. 0.6% on moderate volume. VXO dropped 4% to the unsustainable level of 11.41.
For the week, stocks rose 1.6% while precious metals declined about twice that amount and the VXO dropped 10%. The S&P 500 Index and the Dow Jones Industrial Average continue to log nearly daily records as the relentless climb of stocks to the moon continues. All three major U.S. stock indicies are within a day of capturing a major round number.