The North Carolina State Fair opened this week. I’m no longer interested going on rides but do still like to watch their movements from afar. Like a roller coaster or a Ferris wheel, they have lots of ups and downs, but in the end they end up where they started. That’s one way to characterize the past week — lot’s of movement but not much change.
Monday, stocks in Asia and Europe closed nearly unchanged, but in the U.S. stocks fell 1.2% on low moderate volume as the bond market was closed for Columbus Day. The VXO continued its climb, rising over 11% to close at 22.53 — a level not seen in nearly two years. Crude oil slid farther to close just under $85 per barrel as precious metals stocks gained nearly 2%. The carnage of the day dragged down the S&P 500 Index to below the 1900 level to a close not seen in five months.
Tuesday, stocks fell in Asia 0.7%. In Europe they went nowhere, and in the U.S. gained slightly on moderate volume. The VXO index fell over 8% to close at 20.68 and precious metals miners gained another 1%. Crude oil fell to $82.42, and the 10-Year U.S Treasury Bond yield dropped down over 3% to close at 2.20%.
Wednesday, stocks in Asia rose 0.4%, but they fell a whopping 3.2% in Europe. In the U.S. stocks fell in like manner but recovered after the close in Europe to post a loss of 0.8% on moderate volume. The VXO shot up 13.3% to close at 23.43. Here’s a good summary of the day’s action To top it off, 10-Year U.S Treasury Bond yield crashed 10% to close the at 2.09%. Earlier in the day, it had traded as low as 1.94%, before recovering somewhat.
Thursday, stocks fell in Asia 0.9% and in Europe 0.5%. In the U.S. stocks rose slightly on moderate volume. The 10-Year U.S Treasury Bond yield rose 3% to close the at 2.15%. Friday, stocks dropped 0.5% in Asia, but rocketed higher 2.8% in Europe and 1.3% in the U.S. on moderate volume. The VXO cratered 13% to close at 19.93 while precious metals miners dropped about 3%. The strong recovery Friday rescued the week from a markedly negative tone.