The Dow continues to fall, although it recovered in a “V” shape towards the end of the day for a total loss of 0.13%. The Nasdaq, however, was up almost 0.4%. This was caused by energy stocks (represented by XLE) falling by 1.02% due to a 4.8% drop in crude oil prices to $45.14. Crude oil and energy stocks, which are a larger component in the Dow than the Nasdaq, are directly correlated.
Other than energy, investors returned to a “risk-on” mode by selling stocks that they had moved into as safe havens because of Brexit, according to the Wall Street Journal. Utilities (XLU), one of these havens, fell 1.85% today.
10-Year T-Note yields rose moderately by 0.14%, corresponding to a decrease in prices caused by a decrease in demand. This decrease in demand was also due to a move away from conservative assets, as concerns over Brexit are having less of an effect and investors return to worrying about domestic news.