Mid May Market Movement â Still Churning at the Same Levels
Here we are again.
Back on May 3rd, our self-explanatory headline for the Morning Report was: "
Monday Market Movement – Dow 34,000, S&P 4,200, Nasdaq 13,900 – Again" and, this morning, we're at 34,346, 4,169 and 13,385 respectively. The Dow is up 1%, S&P flat and the Nasdaq is down 3.7% respectively. The Dollars those indexes are priced in, however, have lost 1.5% of their buying power during the same two weeks as our currency is teetering on the cliff of the May lows.
This is the stealthy way the market can take your money when you don't realize it – especially in an inflationary environment - so we need to keep on our toes. For example, I could have traded a $32 shares of AT&T (T) for 10 gallons of Gasoline (/RB) on May 3rd but now I'd be lucky to get 9 gallons for the same share. I would have needed 55 shares of T to trade for an ounce of gold at $1,760 but now I need 58.33 shares at $1,867.