June stock markets closed down with concerns over “Grexit”, the Greek exit from the Euro. Large company stock indices ended the month down 2.5% and are down .5% YTD. The NASDAQ and small company stocks have fared a little better with month returns -.6% and YTD 4.8%.
With their no vote, Greek citizens face a banking crisis. All this year the Greek banks have requested and received cash support from the ECB which may not be continued in the present uncertainty. The last resort would be leaving the euro to return to the drachma. Athens will continue looking for debt relief from the rest of Europe. While a serious situation for Greeks, stock markets are generally indifferent and this action is unlikely to cause a correction in U.S. stock markets.
July lights the garden with color, mostly pink/reds, purples and golds. Nothing subtle here. Sunflowers – planted by the birds – tower over and crowd the garden design. The profusion is joyful if a bit chaotic. Spontaneity is the genuine part of life.