Mid-week market update: Charles Dow once characterized the stock market`s price movement as being composed of tides, waves, and ripples. We can see a mini version of this thesis by the market's action in the past week. The major indices had staged an upside breakout through a downtrend and sentiment had turned bullish.
This week, the narrative became more cautious:
10-year bond yields had spiked significantly above 3%.
The US-North Korea summit is at risk of going off the rails.
The anti-migrant Lega Nord and anti-establishment Five Star Movement are on the verge of forming the next Italian government.