Harry Rady News

The middle of July was a difficult time for investors. After 8 weeks of general improvement, the market dropped 187 points in just one day of trading, the largest single day point drop since April 20. Confidence that the spring rally was for real was badly thwarted, as all the major indexes declined over 2%.

Trading in oil has been mostly keeping pace with the stock market’s ups and downs these past three months. So it was no surprise that the price of benchmark crude oil fell $1.42 in July, reaching $70.62 per barrel on the New York Mercantile Exchange. The price of crude has fallen almost 3% during just two days of trading in mid-July.
These events were not a surprise to Harry Rady of Rady Asset Management.

“The market just seems to keep driving the car into the wall and then wonders why it can’t keep driving,” Rady said.

Signs that the surge in stock prices experienced over the spring months continue. The Dow Jones fell 187 points last Monday, which is the biggest one day drop since April 20. The other major indexes also fell more than 2%.

Since there was not much trading volume, the loss is explained as due to a shortage of buyers rather than a large number of sellers, suggesting a hesitancy to get involved in the market until there is more clarity as to which way the market is actually heading.

It is clear that stocks have been rising too quickly considering the trouble our economy is still in, according to Harry Rady of Rady Asset Management.

“The market just seems to keep driving the car into the wall and then wonders why it can’t keep driving,” Rady said.