Daily Market Update – June 15, 2016 (8:00 AM)
Yesterday ended much better than it had been looking earlier in the day.
With a reasonably strong loss on Monday, had the losses continued to that degree on Tuesday, there would have been some good chance of getting some kind of relief rally on Wednesday, almost regardless of what would have been contained in the FOMC Statement release.
With some early morning strength, almost enough to offset yesterday’s loss, that leaves markets easily going in either direction at 2 PM and maybe even again afterward, as Janet Yellen holds her press conference.
The expectation seems to be that there may be more dove than hawk today both from the statement itself and then during the press conference.
Unless a real shocker comes and interest rates are raised, there’s not too much reason for the market to behave badly.
That is, unless another bombshell hits, such as any mention of the word “recession.”
That latter bombshell seems very unlikely, but it’s the unlikely that gets people’s attention and flames fears or greed.
For today, I would just like to see something that helps the market move higher.
There’s not much chance of me spending any money prior to the FOMC and not even likely until after the press conference.
At this point, I’d just like to see this week come to an end and get the July 2016 option cycle going.