Hello traders everywhere. Despite the fact that all three major indexes are up over +1% in Friday trading they will still all lose close to or more than -1% on the week, unable to shake the heavy losses suffered mid-week. The NASDAQ is down -.8%, meanwhile the S&P 500 will lose -1% and the DOW will post we weekly loss of -1.6%.
Falling bond yields are to blame for the volatile markets this week with The U.S. 30-year Treasury yield dropping to a record low Thursday, while the yield on the benchmark 10-year notes dipped to a three-year low as investors sought out safe-haven assets.
Amid all of the volatility, the U.S. Dollar shook off a weekly loss of -1% last week to post a weekly gain of +1.1% gaining strength against global currencies. However, it's still stuck in a tight trading range between $96-$98.
Gold has been the big benefactor of the recent volatility gaining +1% on the week marking three straight weeks of gains against the major indexes posting three straight weeks of losses. That paints a pretty clear picture of a flight to safety by investors. Check out INO Contributor Aibek Burabayev's recent article on gold and where it's headed.
Crude oil is set to post a weekly gain of +.8% after posting four straight weeks of losses, but overall the long-term trend is down for oil and we should expect to see the price oil head lower as we close out the year.
After two weeks of gains, Bitcoin has given back some of this gains losing -7.5% on the week. It's currently stuck in a tight trading range between $9k and $12K, essentially in a sidelines mode.
Key Levels To Watch Next Week:
- S&P 500 (CME:SP500): 2,728.81
- Dow (INDEX:DJI): 24,680.57
- NASDAQ (NASDAQ:COMP): 7,292.22
- U.S. Dollar (ICE:DX): 97.03
- Gold (NYMEX:GC.Q19): 1,514.80
- Crude Oil (NYMEX:CL.N19): 55.671
- Bitcoin (BITCOIN:BITSTAMPUSD): 9,111.00