| Last Friday morning (June 6th), we were interested but dubious regarding the surge of the stock market indices on the June 5th. I was writing: “I see this global rise on stocks as an interesting artefact confirming that some forces are active on the “buy” side. It is a positive sign with no real significance for the moment… but an interesting (advanced) indication… For the next days, as mentioned above, a test of some lows is probable.”
And then, a news triggered the big down move… Indeed, US unemployment (reported on last Friday afternoon) showed an increase to highest levels in 2-decades. This is clearly adding significant concerns on the slowing economic activity in the US. Fine! This is not a major significant news or comment for our readers… It fits with the global view we have exposed many times that the economic slowdown will follow the financial crisis, even if at the moment, results from US industries look reasonable… |
