Nasdaq is down and everyone is fleeing from FANG companies

US indices traded mixed yesterday, which is definitely a cause for concern. Technological Nasdaq Composite and Nasdaq 100 continued with their decline after new record highs reached, while Dow Jones rose.
The Nasdaq 100 Index declined for the first time in five days, with investors dumping and selling shares in the FANG group and targeting the stocks of the banking companies.
Interest rates on 10-year US bonds continue to keep below the psychological limit of 3%, but according to market observers the expected almost 100% rise in interest rates in June begins to weigh above the market and indices.
The Stoxx Europe 600 Index returned its earlier earnings yesterday after disappointing factory orders in Germany. The euro appreciated as a result of rising expectations for the end of monetary stimulus in the euro area.

US indices ended in new records

US indices reached new historical records, awaiting the introduction of tax reform next week.
The S&P 500 indice, the Dow Jones Industrial Average and the Nasdaq 100 Stock Index closed at historic records after it became clear that the final tax reforms will be presented late Friday, and a vote for their approval is expected next week.
Russell 2000 Index's Index for Small Businesses saw the ninth consecutive growth for the last 10 sessions, precisely following the expected reforms.
Still, there are some uncertainties about the final version of the tax reforms and whether they will not undergo any changes.
The S&P 500 rose 0.9 percent to a level of 2,675.63 points or the highest closing level in its history. The Nasdaq 100 added 1.2% and Nasdaq Composite added 1.2% to its value.

J. Bogle: The market is fully appreciated

When the index fund father - Jack Bogle, talks, everyone listens. And Bogle has a lot to say to investors. In his last interview, he said that the market is fully appreciated.
Although two of the three major US indices fell last week, they all reached new record highs this month. And that makes Bogle, the founder of the Vanguard Group, to believe that the market is fairly valued at the moment.
According to his standarts, the financial ratings of companies are quite high, said Bogle in an interview with TheStreet. He added that his standards are high.
This year, the Dow Jones Industrial Average blue chip index passed 20,000 points and is currently trading close to 23,000 points. Technological Nasdaq rose by 22.42% since the beginning of the year, while the broad S&P 500 grew over eight consecutive days, registering its longest winning series since 2013.
It is good for investors to realize that the market is fully appreciated, and if they feel nervous about its condition, it may be better to close a portion of its portfolio, thinks Bogle.

The oil officially entered the bearish market. Next target - $30

Oil has officially entered the bearish market after its fall yesterday. Poll Siana from Bank of America Merrill Lynch, commented in an interview with CNBC that based on graphics, oil may be headed for a level of $30 a barrel. These are levels unprecedented since April last year.
According to the technical analyst, the depreciation of oil can in practice serve as a rally for the bond markets. There is a backward movement between bond prices and oil, so if this dependence continues, the depreciation of oil can lead to a rise in bond prices.
In addition, stocks may also be in trouble if the price of oil falls. While there is no direct correlation between the potential oil depreciation and index levels, such a decrease could potentially exacerbate a possible correction for the indices.
Not very positive is the situation for oil and on the basis of a fundament. In fact, demand for oil may drop in the summer.
Since the beginning of the year, the price of oil has fallen by 19%, mainly due to increased US stocks and OPEC's inability to limit supply.
US crude oil traded at levels of 43.50 earlier this morning.

Gold is cheaper in a background of a rising dollar and record indices

New records for US indices did not particularly affect gold. Investors dropped the metal, demanding higher returns and a "high security" environment.
There is another fact about the calm of the market. The continuing decline in the volatility index of the Chicago stock exchange.
Otherwise, gold futures with delivery in August lost $9.8 in value, or 0.8% to $1,246.70. It was the seventh consecutive closure of a negative territory for gold, from the last nine sessions.
The Fed's policy of normalizing interest rates also had a negative impact on gold.
In addition, US indices reached new record highs yesterday and the US dollar appreciated.

Free webinar: "Trading the US Indices"

On September 8 there will be a very useful free "Trading the US Indices".
The Pro Trader Paul will provide us introduction into trading the US indices markets.
Time: 7pm-8pm Cost: Free Place: Online
Don't the other interesting and useful webinars, which will be held in September:
September 15: "The Four Pillars of Personal Success at Trading";
September 22: "Live Trading Analysis - FX, Commodities & Indices".
For more information and registration, visit here.