Ok the last day of Q1 2016 now has all major equities exchanges positive for the year, just as I predicted on Monday.
The window dressing was aided by Fed chief Janet Yellen on Tuesday with her announcement that rate rises will be “gradual.”
Yellen’s pullback from the December quarter point rates rise and her comments seem to say that April’s meeting is most likely “not in play,” as a few of Yellen’s cohorts were saying prior to her Tuesday comments.
So we now have a divided Fed that just two weeks ago voted 9-1 to hold rates steady. Tomorrow I’ll calculate the run up in stocks and bonds off of the Holy Thursday close to illustrate the Easter miracle. I have to say, so far, it is quite a resurrection in the markets.
The US markets have divorced themselves from any and all of the global concerns that took the markets down in January and beginning of February.
- Oil goes down, markets up.
- Europe goes down, markets up.
- Asia goes down, markets up.
- Bond prices go up, markets up.