Monday, stocks fell 0.6% in Asia and Europe. In the U.S., they fell slightly on low volume. Tuesday, stocks fell slightly in Asia, rose 0.6% in Europe, and rose 0.8% in the U.S. on low moderate volume. The VXO fell 6% to close at 16.30 and, the 10-year U.S. Treasury Bond yield rose 2.2% to close at 1.99.
Wednesday, stocks fell 0.7% in Asia, 0.3% in Europe, and just slightly in the U.S. on low volume as precious metals miners lost 2%, and Greece postured with the EU. Thursday, stocks rose in Asia and Europe 0.6% and in the U.S. 1% on low moderate volume. The VXO fell 8% to close at 14.94 and oil climbed back above $50 per barrel as the saga over the fate of Greece continued. Friday, stocks rose 1.5% in Asia, 0.6% in Europe, and 0.4% in the U.S. on low volume.
For the week, despite the turmoil in Europe, stocks rose 2% to bump up against record highs as the VXO fell 17%. It’s as if “investors” have decided that the disaster that is the European financial system has resolved. Regrettably, despite the (refreshing) hard line we’ve heard from the present new Greek leader, history tells us Europe is long on talk and short on action.