- On Monday the market got its first opportunity to react to President Trump and the Republican Congress’ failure to repeal and replace Obamacare
- With something more palatable
- And as a result, the market declined
- At the lows, the Dow was down approximately 200 points
- Although the “Buy the Dippers” came out, and by the end of the day, the Dow was UP about 150 points
- But it was the 8th consecutive down day for the Dow
- Which I think was a tie for the longest losing streak since 2011
- Had the Dow been down again today, it would have been the longest losing streak since sometime in the 1970’s
- So it wasn’t that surprising that the Dow rallied
- We were up about 150 points, so we more than wiped out yesterday’s losses
- On the other hand, the dollar sold off yesterday and actually traded with a 98 handle
- For the first time since just after the election
- Almost all of the Trump-related dollar rally has been eviscerated
- The dollar rallied back today closing at 99.71 today
- The pound was weak; the Scottish are getting ready to have another referendum
- Whether or not they want to leave the U.K.
- Remember, the Scots did not want to leave the EU
- They narrowly rejected an independence referendum before and now that there is going to be another vote, the market is nervous
- Maybe that helped push the dollar down, but we’re below 100 on the dollar index right now
- Gold got back up to $1260 yesterday; at one point it was up about $17
- I didn’t see it hit $1261
- That was about the high for the year
- Gold still closed today above $1250
- Silver was actually up again
- Adding to yesterday’s gain, we’re now holding above $18
- So gold and silver going up; the dollar going down
- We did get a rally in the bond market yesterday; gave back some of that today
- I think today’s rally was more of a technical bounce on the “Buy the dip” mentality
