US major indexes reversed last Thursday's steep drops on Monday on a near $1 trillion European Union relief package and on news that US regulators are looking at circuit breakers to prevent a re-run of last week's "flash" market meltdown as stocks managed to hold onto gains of 2% and greater for the week.
Fears of inflation and slow growth in the wake of the euro-zone bailout, along with a sizable US April budget deficit led COMEX Gold futures to a non-inflation adjusted record high of $1249.7/Troy oz., as the euro traded at its worst level since October 2008 at a low of $1.2362 against the dollar.
What follows is a summary of this week's statistics on the markets.
- The Dow S&P and NASDAQ Composite logged weekly gains of +2.31%, +2.23, and +3.58%, marking their best weekly percent gain since March 5, 2010 when each rose 2.33%, 3.1%, and 3.94% respectively
- The Dow has posted weekly gains 58% of the time this year, and closed in negative territory 9 times
- The S&P has posted weekly gains 54% of the time this year, and closed in negative territory 9 times
- The NASDAQ Composite has posted weekly gains 58% of the time this year, and closed in negative territory 8 times
Since Thursday’s Flash Crash:
- The Dow has recovered 99.84 points or 0.95% from last Thursday's close of 10520.32, while the Dow has gained 750.54 points or 7.6% from Thursday's intraday low of 9869.62.
- The S&P has recovered 7.53 points or 0.67% from last Thursday's close of 1128.15 & the S&P has gained 69.89 points or 6.56% from Thursday's intraday low of 1065.79.
- The NASDAQ Composite has recovered 27.21 points or 1.17% from last Thursday's close of 2319.63 & the NASDAQ has gained 161.1 points or 7.37% from Thursday's intraday low of 2185.75.
Monday's Rebound & Biggest 1-day point moves:
- The Dow closed up 404.71 points or 3.89% at 10785.14 on Monday-its 14th largest 1-day point gain in its history, and its biggest 1-day point gain since March 23, 2009 when it rose 497.48 points or 6.83%
- The S&P closed up 48.85 points or 4.4% at 1159.73 on Monday-its 13th largest 1-day point gain in its history, and its biggest 1-day point gain since March 23, 2009 when it rose 54.38 points or 7.08%
- The NASDAQ Comp closed up 109.04 points or 4.81% at 2374.67-its 45th largest 1-day point gain in its history, and its biggest 1-day point gain since October 28, 2008 when it rose 143.57 points or 6.83%
- Since the March 9, 2009 lows, the S&P is up 67.87%, the Dow is up 62.2%, the NASDAQ is up 84.99%, while the Russell 2K is up 102.2%
- The CBOE Volatility Index (VIX) surged about 17.7% on Friday and settled above 31, but declined 23% for the week
Sector Impact: Ten out of ten sectors closed the week in positive territory, led to the upside by industrial and technology stocks.
- Quanta Services was the biggest percent gainer in the industrial sector, up 14% for the week
- Technology stocks were helped by JDS Uniphase, up 13% this week
- Year-to-date, six out of ten sectors are trading in negative territory, led to the downside by telecom stocks with a loss of 8%, and to the upside by industrial companies, with a gain of nearly 12%