Financial Markets Summary
Tuesday, June 2, 2015
- The yield on the ten year U.S. Treasury Note is near 2.19% after starting the year at 2.17%. This lack of change in yield is quite remarkable if one had been following the day to day financial news coverage and the exhaustive reporting on what and when the Federal Reserve might do with interest rates.
- Oil has advanced for eleven consecutive weeks after hitting its low in March. Oil gained 1.12% in May.
- Price resistance for oil is about $4 above the current price, which is just above $60 a barrel. This leaves the possibility of a further move to the mid $60’s range for a barrel of oil before it reaches a likely near term ceiling. The intermediate and long term downtrend remains solidly in place.
- Gold has dropped nearly 3% during the past two weeks giving back nearly all that was gained during the prior two weeks. The downtrend in gold remains in place for the short, intermediate and long term.
- After bouncing off of support, the U.S. dollar rallied the last two weeks exceeding a newly formed level of resistance. That break of resistance has created a new floor of support for the dollar, which is only 3% below the recent highs recorded in March. On an intermediate term basis, the U.S. dollar remains in a positive trend.
Sources: bankrate.com, bloomberg.com, briefing.com, Dow Jones News, Financial Times, finviz.com, Investor's Business Daily, marketwatch.com, seekingalpha.com, Thomson Reuters/First Call, U.S. Dept of Treasury, yahoo.com and individual company web sites and press releases.
Leonetti & Associates, LLC views or opinions are as of a certain date and subject to change without notice. The material contained herein is for informational purposes only and obtained from sources we consider reliable. We make no guarantee as to its accuracy or completeness. References to specific securities and industries/sectors should not be considered recommendations to buy or sell any security or advisory service. Past performance is not a guarantee of future results.