WASHINGTON, December 19, 2016 – Monday’s stock market action ended up being something of a nothingburger. Markets still seem prone to taking a break after the impressive initial outburst of 2016’s astounding and unexpected Trump-Santa Claus Rally.
Technical reasons are likely behind today’s stall, which found our three major averages—the Dow, the S&P 500 and the NASDAQ—all up only fractionally in what appeared to be modest trading action.
Weighing on the market were issues ranging from an unimpressive drop of 10 cents in the per-barrel price of West Texas Intermediate (WTI) crude oil, to at least a bit of uncertainty as to how beleaguered, Republican-pledged electors will vote in today’s final tally, to still-breaking afternoon reports on the assassination of Russia’s Ambassador to Turkey in an Ankara art museum and another terrorist truck attack in Berlin that was very similar to another that took place this past summer in Nice.
This pair of Merry Christmas greetings by the current ad hoc Islamo-terrorist crowd was clearly meant to dampen the holiday spirits of all Germans, but will likely only intensify the Brexit-Trexit sentiment that’s growing in Germany and elsewhere as more and more European citizens begin to fight back against the blind, Soros-inspired globalist vision that drives that continent’s political elite who, like U.S. Democrats, have customarily ignored their own people for years while importing millions of violent ruffians who don’t remotely share any Western values at all.
Such reminders of world instability also tend to make markets unstable, although today’s incidents, at least thus far, didn’t seem to ruffle markets too much, although they did give a minor boost to gold, which is a standard reaction to any kind of political instability.
That’s really about all there is to say about Monday’s market action. The Maven expects that things will remain pretty much the same during this pre-Christmas week, as shoppers focus their attention on fulfilling family Christmas wants and needs and forget about year-end portfolio adjustments, at least until next week, which is the last chance to dump those portfolio dogs and look for a brighter, Trumpian investment future come this January 20.
In other words, barring any terrorist festivities on Times Square or Capitol Hill (or elsewhere) this week or next, any trading activity at all should be geared toward positioning for an entirely different kind of investing environment in 2017, the effects of which are going to be genuinely hard to predict.