Fed Juices Stocks

Monday, stocks closed little changed in Asia, rose slightly in Europe, and gained 0.5% in the U.S. on moderate volume. The VXO fell 7% to close at 18.60. Precious metals lost 1% and their miners declined twice that amount.

Tuesday, stocks blasted higher on optimism. They climbed 1.5% in Asia and Europe and 1.6% in the U.S. on strong volume. The VXO fell 13% to close at 16.13. Precious metals and their miners fell 2%. Apple closed well above the 310 benchmark. The 10-Year U.S. Treasury bond yield plunged 4% to close at 1.58.

Wednesday, stocks gained 0.5% in Asia and 1.2% in Europe and the U.S. on strong volume. The VXO fell 7% to close at 14.80. The 10-Year U.S. Treasury bond yield rose 3% to close at 1.65. The Dow closed above 29,000 and the NYSE closed above 14,000. IBM gained another 5% to close well above the 150 benchmark.

Thursday, stocks gained 1.8% in Asia and 0.5% in Europe but closed little changed in the U.S. on moderate volume. The VXO gained 9% to close at 13.49. Precious metals and their miners gained 1%.The Dow, S&P, and NASDAQ each logged record closing highs.

Friday, stocks fell 0.3% in Europe and 0.7% in Asia and the U.S. on moderate volume. The VXO moved up 16% to close at 15.61. The 10-Year U.S. Treasury bond yield rose 3% to close at 1.65. Precious metals miners fell 2%. Here’s a fairly comprehensive article explaining how current Federal Reserve actions are currently juicing the stock market.

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