Stocks finished the final trading day of a weak Q2 with a huge upmove as EU leaders surprised with an agreement to help thier ailing banks. The Dow logged its best June gain since 1997, while the S&P 500 and Nasdaq posted their strongest since 1999 and 2000.
Last week was wild for the US dollar, but the situation will only grow more complicated going forward. For most of this past week, the USD index was carving out a tedious range with no direction. That changed suddenly early Friday morning after the EU Summit statement tapped into any mention of mass stimulus that capital and traders are always expecting. As is usually the case with flashing headline with far-reaching implications, the speculative masses reacted first and saved questions about the details and scope of the development for later. Having suffered its biggest, loss since October 27, the dollar is now in a good position to be reviewed. The European officials mentioned an agenda that could significantly curb financial stress for the world’s greatest source of uncertainty. Considering the dollar is a currency that depends on being a safe haven, where we go from here depends on if the EU bought itself some good will.
Brent crude rose $6 to $97.36, having traded from $91.73 to $97.48. Crude was up $7.20 at $84.89, having traded from $78.28 to $85.28.
JPMorgan ended slightly lower as reports that regulators have stepped up scrutiny of the financial giant’s internal controls.
Facebook slipped following a report that Twitter is seeing more success on its mobile advertising. Also Macquarie initiated coverage of the social-media giant with a “neutral” rating and a $35 price target.