“Risk Off” as Investors Fear Global Growth Slowing

“Risk Off” as Investors Fear Global Growth Slowing

“Risk Off” as Investors Fear Global Growth Slowing

$DIA, $SPY, $QQQ, $VXX

Investors are selling off risky assets from their portfolios because of falling global GDP expectations, driven by China’s slowing growth, and the hotting up US Presidential race.

Friday, global growth worries and a sharp decline in Crude Oil prices sent fear through Wall Street, leading the 3 major US stock indexes lower for the 2nd day running.

The yield on the 10 yr US Treasury Note dove to 1.633%, its lowest since 11 February Friday.

Copper is almost on the 12-month low, signalling that the global economy must be weak and stocks look scary.

Brexit fears and mixed messages from the US Fed’s officials are adding to the risk aversion in financial markets. Britain will vote on a referendum on 23 June to decide whether the country should remain in the European Union.

Friday, the US major stock market indexes finished at: DJIA -119.85 at 17865.34, NAS Comp -64.07 at 4894.55, S&P 500-19.41 at 2096.07

Volume: Trade was light as just 853.3-M/shares exchanged hands on the NYSE

HeffX-LTN Analysis for DIA: Overall Short Intermediate Long
Bullish (0.27) Bullish (0.26) Neutral (0.19) Bullish (0.38)
HeffX-LTN Analysis for SPY: Overall Short Intermediate Long
Neutral (0.18) Neutral (0.16) Neutral (0.10) Bullish (0.29)
HeffX-LTN Analysis for QQQ: Overall Short Intermediate Long
Bullish (0.26) Very Bullish (0.52) Neutral (0.10) Neutral (0.14)
HeffX-LTN Analysis for VXX: Overall Short Intermediate Long
Neutral (-0.22) Neutral (-0.18) Bearish (-0.32) Neutral (-0.17

Have a terrific weekend.

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Paul Ebeling

Paul A. Ebeling, polymath, excels in diverse fields of knowledge. Pattern Recognition Analyst in Equities, Commodities and Foreign Exchange and author of “The Red Roadmaster’s Technical Report” on the US Major Market Indices™, a highly regarded, weekly financial market letter, he is also a philosopher, issuing insights on a wide range of subjects to a following of over 250,000 cohorts. An international audience of opinion makers, business leaders, and global organizations recognizes Ebeling as an expert.

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