Dollar Stronger On Geopolitical Concerns

Includes: FXE, IEF, SPY, XLE
by: David Fry

Markets are locked on the Middle East. As conditions subside, even if only for an instant, markets rally while gold and energy sell-off. It’s a high-stakes event driven affair. It’s hard to know if we’re in the eye of the storm or not:

Earnings news has been, on the whole, not that up-lifting. However, since the markets are oversold any sign of strength is cheered. MCD was up 5% today, but given the state of the consumer, the future wouldn’t seem that bright intuitively. (Hmm…maybe some people are getting their morning coffee at MCD versus SBUX.)

We’ll see what tomorrow brings, but I wouldn’t have faulted you for taking the summer off.