Dow: +49.51…
Nasdaq: -28.82… S&P: -1.48…
So we did get some less dovish-minded commentary from a few Fed officials in the Fed minutes that were released yesterday. The market opened higher than dive-bombed for a bit, but the bulls did end up stepping up to buy the dip. It was really a non-event.
Being too long or short in front of an “event” day like tomorrow is like buying a stock the day before earnings. You just don’t know.
Powell speaks at 10 AM, we’ll regroup then.
In other news, Germany sold the world’s first 30-year bond offering a zero-coupon, with an effective yield of -0.11%. Demand was pretty weak.
As of mid-June, over 50% of European government bonds have a negative yield. The total is higher now.
An AA+ rated Austrian 100-year bond has returned 65% in 2019. It had a 2.1% coupon maturing in 2117 when issued. That’s a better return than 99% of the S&P 500 components. Hey, don’t knock it til you try it.
This one reminds me of Oscar Wildes’s great quote….” Always borrow money from a pessimist. He won’t expect it back”.