Yesterday was a strong day for stocks, as the leading indices around the world finished on the bullish side of the market – and traders continue to “buy the dip”.
As the earnings season continues we can still see an effect of Trump’s Tax plan on the performance of the companies and the huge effect these cuts have over the results these companies bring to their investors – Thank you, Mr. Donald Trump!
Still, not everyone is impressed as some are still alerting on risks in the markets that need attention and some of the expected effects if/when/where they will happen.
https://www.marketwatch.com/story/mcconnell-calls-rising-budget-deficit-very-disturbing-2018-10-16
https://www.marketwatch.com/story/the-history-of-presidential-fed-bashing-suggests-it-has-not-been-a-fruitful-strategy-2018-10-11
But: “The show must go on” and investors tend to ignore changing conditions in the market and just keep buying and buying – and this is what happened yesterday:
Dow Jones – the numbers speak for themselves…
Gold – Gets weaker as concerns from another Meltdown in the market fade away and is on a crucial level for the commodity – important to follow price action towards the end of the week.
The situation in the markets reminds me of a joke:
Mike and Joe ride the train together and Mike turns to Joe to annoy him and says: “I have a challenge for you – let’s ask each other questions and whoever does not know the answer pays the other 1,000$.
Joe: “But I don’t have money I am a poor man..”
Mike(feeling confident): “I will make it easy on you – I will let you ask me anything you want and if I will not know the answer I will pay you 1,000$ – if you will not know the answer – you will pay me 1$
Joe: “Agreed”
Mike: “Go ahead ask me anything”
Joe: “What has 10 eyes,7 wings, and 4 tails?”
Mike: “I don’t know…”
Joe: “Give me the 1,000$”
Mike: “Here you are..- so what is it?”
Joe: “I don’t know – here is your 1$…”
Comment below and stay tuned – More to Come…