Also a factor is that the federal funds futures market is now pricing in a 10 per cent chance of a rate cut at next month's Federal Open Markets Committee meeting - a sharp reversal from a few weeks ago when expectations were for a rate hike.
With interest rates expected to remain depressed (or cut) in order to save crumbling markets and with safety/defensiveness at the forefront of investors' minds, real estate investment trusts, or Reits, stood out by virtue of their outperformance while stocks with significant UK exposure came under some pressure but perhaps not as much as expected.
Overall, an uneasy calm on the first trading day after the UK voted to leave the European Union ensured that prices were weak but not that weak as traders waited to discern more details on what might happen next in Europe.
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