At the New York close: S&P 500 0.1% at 1897.45. DJIA 0.1% at 16715.440. Nasdaq Comp down 0.3% at 4130.17. Treasury yields down; 10-year at 2. 2.618%. Nymex crude oil up 1.1% at $101.70. Gold down 0.1% at $1,294.60/ounce.
How We Got Here: It was basically a flat day for U.S. stocks, albeit with the major indexes in record territory. The S&P 500 on Tuesday traded over the 1900 mark for the first time. Even if the gains were slight, you’ve got some observers wondering if this new leg up will be enough to embolden another round of buying.
The most interesting news on Tuesday came out of Europe, where Germany’s central bank apparently readied to accept some of the “unconventional” monetary schemes the ECB is dreaming up, including negative real interest rates.
The euro fell modestly amid implications for a weaker common currency, but it’s still trading above $1.37. It’s all fine and good that Europe’s central bankers are achieving some consensus about the need to do something to weaken the euro. But with central bankers elsewhere actively working to weaken their own currencies, the Europeans will have to do more than talk about consensus.
