Our Outlook for the Stock Market
Stocks look fairly valued, while the bond market continues to froth.
August was a particularly quiet month this year, with the S&P 500 marching slowly upward on very low volumes as many traders and equity investors actually took a summer break this year. In fact, this August was downright tranquil compared with the heightened volatility we saw in August of the last two years, and it was a welcome respite. Mario Draghi, president of the European Central Bank, calmed markets in late July with his comment that the ECB would do "whatever it takes" to save the euro, setting markets up for a nice rally throughout August.
Heather Brilliant does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.