We kick off the first day of August trading and July was the second best month of 2016 on Wall Street. The S&P 500 hit an intraday high Friday, while the Nasdaq logged its fourth straight gain. (CNBC)

Expect some summer volatility. August has not been a great time historically for stocks. Over the past 20 years, the markets on average have performed worse in August than during any other month. The markets in August averaged a decline of 1.3%, though it is positive 55% of the time. (Bespoke)

If you are a long-term investor these dooms day prognostications should not be of concern to you.  Goldman Sachs has cut its rating on equities to "underweight," saying its risk appetite indicator has turned neutral, which suggests that markets are more vulnerable to growth and policy disappointments. Jeffrey Gundlach, the CEO of DoubleLine Capital, said that many asset classes look frothy and investors should “sell everything”. (Reuters)

S&P 500 is up 3 and the NASDAQ is up 9.  MSCI International Index is flat.

Oil is down 25 cents at $41.20 a barrel. Overproduction of crude and refined products continue to weigh on prices. U.S. crude is trading in bear market territory, after losing 14% in July, the worst month in a year. (Reuters)

Gold is down $4 at $1354 a Troy ounce.

With Northwest Quadrant Wealth Management, a Registered Investment Advisor I am Troy Reinhart.