Stocks finished a quiet mid-summer week of trading modestly higher but near record levels as investors prepared for the Federal Reserve’s monetary policy meeting this week.
Global stocks jumped while sovereign bond prices fell last week as investors took on more risk as the post-Brexit vote panic started to subside.
A much stronger than expected June jobs report pushed stocks higher on Friday, boosting the major U.S. indexes into the green for the week.
Global stocks rebounded sharply last week as relative calm returned to the financial markets in the wake of the Brexit vote, while bond yields continued to drop further.
Global stock prices plunged and safe-haven investments like government bonds and gold soared Friday after the U.K. unexpectedly voted to leave the European Union.
This morning, the UK decided to exit the European Union (EU) with 52% voters favoring the move. As a result, global markets sold-off sharply and there was a flight to quality.
Nervous investors, already worried about slowing global economic growth and negative interest rates, sold stocks and bought gold last week as they awaited this week’s so-called Brexit vote.