For today’s daily update, we’re gonna use a bit of surfing slang where appropriate. Feel free to play along, with your legend at this link brah.
Looks like Kim Jong Un pulled a 180 yesterday as he announced that North Korea is pulling out of talks with their southern neighbors.
We knew the upcoming negotiations were a long shot, but just in case people were thinking that we were on a straight path to a peace deal, this is a firm reminder that Donald Trump is not the only one who can play hardball.
The stocks were already dumping when the news broke, but it seems this update may have hampered any recovery.
Diligent onlookers also noticed a blow out in the bond markets, as the selling was not confined to stocks. Here we can see the yield on the 10-year treasury went airborne, reaching its highest level since 2011.
A few months ago, everyone was freaking out about this particular yield coming close to 3%, which we’ve passed now.
(Remember: Bond yields trade opposite to price)
Gold: Dinged but not Licked
Oddly enough, there is no flight to safety by investors. This orderly selling pressure in the stocks and bonds has led to a stronger Dollar but gold must have missed the memo.
Here’s the channel we’ve been watching on gold for a few months now. It should be noted that the break below $1,300 was not at all a surprise.
Oil on the other hand, is getting rag-dolled without any particular direction.
Several of our clients have recently asked about this so I wanted to give a brief explanation.
The EOS ICO is ending in two weeks from Friday on June 1st. As you may know the ICO is being held on the Ethereum network. So anyone who has bought EOS tokens is currently holding an Ethereum based (ERC20) token.