Weekly Market Update - June 21, 2013
Domestic stock prices plunged this week. Equity markets reacted negatively following the conclusion of the FederalOpen Market Committee (FOMC) meeting. Investors took profits on concern that the FOMC would begin to taper its bond‐buying program sometime this year. On Thursday the S&P 500 posted its largest one‐day loss since November 2011. The index has posted seven straight monthly gains through May.
Global markets also sank on the week. World equity markets slid as a result of concerns about the future of monetary stimulus as well as worries about a worsening cash crunch in China. European stocks have declined almost 9% since May 22nd, the date the Fed said that stimulus may be cut back this year.
Treasury prices cratered for the week. The yield on the benchmark 10‐year U.S. Treasury books its biggest weekly advance in two years this week, as investors believe the Fed will cut its monthly purchases by $20 billion by September.
Commodity indices fell sharply on the week. Crude oil declined the most in two months, and gold sank to its lowest level since September 2010 on lowered outlook for demand.
| MARKET DASHBOARD | ||||
| Index |
Price |
Weekly Chg. |
% Chg. |
YTD % Chg. |
| S&P 500 |
1,592.50 |
-30.04 |
-1.85% |
12.0% |
| Dow Industrials |
14,799.40 |
-264.71 |
-1.76% |
13.0% |
| Nasdaq Composite |
3,357.25 |
-66.73 |
-1.95% |
11.2% |
| Russell 2000 |
963.68 |
-18.46 |
-1.88% |
13.4% |
| Euro Stoxx Index |
280.40 |
-10.73 |
-3.69% |
0.3% |
| Shanghai Composite |
2,073.10 |
-88.95 |
-4.11% |
-8.6% |
| 10-Year U.S. Treasury |
2.51 |
39 bps |
NM |
8 bps |
| DJ UBS Commodity Index |
127.28 |
-3.10 |
-2.37% |
-8.5% |
| Gold |
$1,294.52 |
-$97.20 |
-6.99% |
-22.8% |
| Crude Oil |
$93.89 |
$4.18 |
-4.26% |
0.1% |
| U.S. Dollar Index |
82.35 |
1.66 |
2.05% |
3.2% |
| VIX Index |
18.78 |
1.20 |
7.00% |
1.8% |
| Source: Bloomberg | ||||
| As of June 21, 2013 | ||||