Investors Extended This Long Bull Run on FOMC Mins

Investors Extended This Long Bull Run on FOMC Mins

$DIA, $SPY, $QQQ, $RUTX, $VXX

FLASH: FOMC Mins as expected; Fed will maintain patience in rate hikes and stop reducing assets on its balance sheet later this year.

The Takeaway

The FOMC Minutes said the central bank is going to be patient in raising rates and is likely to stop reducing the assets on its balance sheet later this year. The surprise for the market to consider was the implication that the Fed could turn away from a “patient” mindset with raising interest rates if market uncertainty abates. Makes sense, Yes?

Separately

There was little news on the US-China trade talks, but investors did get an update on trade negotiations with the EU. President Trump expressed his displeasure with talks, telling reporters that if the US cannot make a deal with EU, the White House will impose auto tariffs. Germany’s flagging economy is a extreme risk, Yes?

The FOMC mins, along with the EU trade update caused little concern, as investors and extend the stock market’s long Bull run.

Wednesday, the major US stock market indexes finished at: DJIA +63.12 at 25954.44, NAS Comp +2.30 at 7489.09, S&P 500 +4.94 at 2784.66

Volume: Trade on the NYSE came in at 933-M/shares exchanged

  • Russell 2000 +17.3% YTD
  • NAS Comp +12.9% YTD
  • DJIA+11.3% YTD
  • S&P 500 +11.1% YTD

HeffX-LTN’s overall technical outlook for the major US stock market indexes is Bullish in here.

Stay tuned…

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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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