Stocks continue to print all time highs as the market averages continue to be buoyed by the belief that the Fed is going to cut interest rates at the July FOMC meeting. We are entering an earning season that comes with extremely low expectations, but not extremely low share price valuations. Indeed, analysts have reduced earnings estimates extensively over the past 6 months, but stocks continue to press on to new highs. As we move into the second half of 2019 we’ll see if corporate earnings or Fed monetary policy is more important for share prices. We know the clear winner in the first half of 2019.
As for today, by the close the Dow Jones Industrial Average was up 243 points to finish the day at 27,332. The S&P 500 was up 13 points to close at 3,013. Gold was up $10 to trade at $1,417 per ounce, while oil was up $.06 to trade at $60.26 per barrel WTI.
As mentioned, earnings season comes at us in full force over the next 3 weeks. Let’s see how corporate America is doing on its report card. Stay tuned.
Have a great weekend everyone.