Steady as She Goes

After the brutal attack killing fifty people in Orlando, stocks fell around the world Monday — 2.2% in Asia, 1.9% in Europe, and 0.9% in the U.S. on light volume. Fear ramped up as indicated by a 21% increase of the VXO to close at 18.84. In response, precious metals rose 1%.

Tuesday, stocks again fell around the world — 0.7% in Asia, 1.9% in Europe, and 0.5% in the U.S. on light volume. Precious metals miners fell 2% as the FOMC began its two-day meeting. Wednesday, stocks rose 0.3% in Asia and 0.9% in Europe. In the U.S. They traded higher through the FOMC announcement but uncharacteristically fell during the last half hour of trading to close virtually unchanged for the day on light volume. Precious metals gained 1% while their miners shot up four times that amount.

Thursday, stocks in Asia closed up 0.6, in Europe down 0.5, and in the U.S. up 0.3 on light volume. Precious metals miners were hammered 3% lower and oil was down over 4% while the 10-Year U.S. Treasury Bond yield fell 2% to close at 1.56. Earlier in the day, U.S. stocks were down over 1% but turned around on the news of a British legislator being shot and possibly delaying the Brexit vote. Stocks fell slightly in Asia, rose 1.2% in Europe, and rose slightly in the U.S. on strong volume as a result of it being a quadruple witching day. The VXO fell 8% to close at 1863. Precious metals and their miners gained 1% while the 10-Year U.S. Treasury Bond yield rose 2% to close at 1.62.

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