More investors became buyers, perhaps in “fear of missing out” on a potential rally. Prices of most stocks rose, not just the few mega-cap stocks that have been driving the indexes higher.
The debt ceiling deal was indeed a relief to investors, as was another good employment report (although as mentioned before, it is not the least bit believable since often subject to large revision later on) and comments by some Fed members that “maybe rate increases could take a pause in June.”
Again, our most of our long positions either increased gains or reduced losses, while our shorts mostly held firm.
Summertime usually means sluggish stock prices on low trading volume, but the market has already been sluggish for several months, so it is possible stock prices may be more dynamic this summer – that would be a welcome development.
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