Welcome To June The “Baddest” Month?
Convention, tradition, or established patterns are not things the market truly honors. Sure, there are times when those three things come into play, but you can never … rather, you should never count on them.
– Stocks entered the final trading day of May with solid gains across the U.S. and Europe for the month, supported by a 5 percent jump in the oil price. But analysts have warned that June is the worst month of the year for markets.
The above might be a “truism” in the market, but very few things in the dynamic universe are absolute.
– There are signs the economy regained momentum early in the second quarter, with retail sales, goods exports, industrial production, housing starts and home sales surging in April.
June might well be an explosive month in the market, especially of the Brits vote down Brexit and good economic news keeps coming. Now, the opposite will be true, and this is absolute, if the Brits shoot themselves in the head. Expect the market to dive, dive, dive.
– It doesn’t take a rocket scientist to understand the drivers of the appliance boom now underway in the U.S.
Then again …
– A team of young Japanese engineers is developing a flying car with the goal of launching it in time for the 2020 Tokyo Olympics.
It is a crazy, fast-moving, opportunistic world out there, and that is what traders and investors go after. Brits or not, if the market takes a dive in June, it might just be an opportunity for everyone.
