France now has a new President in Socialist Francois Hollande after he defeated incumbent Nicolas Sarkozy. In Greece elections left no party with a majority putting into question the austerity measures put in place for the country. There were seven new Greek parties voted into parliament including communists and neo-nazis (a bit scary seeing nazis being elected).
The futures for American markets looked terrible last night, but today the US indexes clawed back from early losses. The DOW (INDU) finished down 29.74 points, the S&P 500 (SPX) gained 0.48 points, and the Nasdaq (COMP) rose 1.42 points.
In the end we now have a good two to three weeks up European political uncertainty. And the markets will most likely continue to correct sideways, leaving gains over the next month flat. With a flat market its best to still have a good portion invested but also to maintain a healthy cash position to take advantage of volatility.
Asian markets got clobbered partially due to Friday’s US jobs number as well as the Euro election results.
Oil continued its drop falling 55 cents to close at $97.94 a barrel. Gold also fell today $6.10 to settle at $1,639.10 a troy ounce.
The US 10-year note remained little changed with a yield at 1.88%.