10-Year Bond Selling, Gold Selling, Stocks Buying, and Funds Being Reallocated

10/24/2014 7:00 am EST

Focus: MARKETS

Greg Michalowski

Chief Currency Analyst, FXDD

Because of the volatile markets last week, Greg Michalowski, of ForexLive.com, thinks fund managers surely felt the squeeze the worst and he shares his pick as this week’s beneficiary of all the resulting selling, buying, and reallocation.

The 10-year bond is up to 2.27%. This is up from 2.24% at the start of the NY session on Thursday.  Last week, it fell below 2% on the Ebola scare.

Gold is falling sharply (down over 1% in trading Thursday).

The beneficiary is the stocks.

Dow is up 225 or 1.37%. The S&P 500 (SPX) is up 24 points or 1.28% and the Nasdaq is up 65 points or 1.49%.

It sure seems like there may be some reallocation going on as fund managers feel the squeeze from the volatile markets last week.

chart
US stocks up strongly.
Click to Enlarge

By Greg Michalowski of ForexLive.com

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