June 2010 Market Outlook

The stock market just experienced its worst May performance since 1940, it dropped 8% and its worst monthly performance in fourteen months.  In May the stock market experienced a huge meltdown and recovery in what can best best described as a huge market malfunction!  News events mostly outside of the US had a large part of the problem.  The euro was down another 5% for the month versus the dollar. With all the outbreaks in Europe, North Korea & South Korea, massive oil spill in Mexico, tensions in the middle east, all of these things just set the market falling and overwhelmed the positive news flow regarding improvement in the U.S. economy. Investors are now viewing the U.S. equity market as a safe haven for global investors.   The U.S. economy is trying to return to normal with the government trying to create new jobs and employment is slowly starting to pick up.  We can only hope for the best and look forward to more positive world news!