Saturday, June 10, 2017

Dow closes at all-time high of 21,271.97 on June 9

The SP 500 however, did not set a new high.  The high remains at 2439.07, which was set on June 2.

The NASDAQ Composite set a new high of 6,321.76 on June 8, and is down 1.8% since then.

For the FANG stocks, the bubble may have finally popped:

Facebook (FB) hit a high of 154.71 on June 8, and is down 3.3% since then.
Amazon (AMZN) hit a high of 1,011.34 on June 5, and is down over 3% since then.
Netflix (NFLX) hit a high of 165.88 on June 8, and is down almost 8% since then to 158.
Google/Alphabet (GOOGL) hit a hit of 1,004.28 on June 8, and is down 3.4% since then.

It is possible, but unlikely, that these stocks may keep going up.  The Fed I'm sure will just focus on the Dow, and this pretty much seals in the rate hike on June 14, and that will in turn ensure that the June 9 high is indeed the high.

So we are looking for a stock market drop this fall, to parallel the 2000 and 2007 markets, a recovery next Spring that does not break the all-time high, and then the big event in Sept 2018. 

I left out Apple (AAPL), which hit its high of 156.10 back on May 12.  It was down almost 4% yesterday, ending at 148.98.  It is not really part of the FANG gang because it left the party early.

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