Headline News: The S&P 500 futures are down 3 points and are trading 0.1% above fair value. The NASDAQ 100 futures are down 19 points and are trading 0.1% below fair value. The Dow Jones Industrial Average futures are down 32 points and are trading 0.1% below fair value. The stock market is poised for a lower open after yesterday’s gains. Overall, though, there isn’t much conviction on the part of buyers or sellers. The 2-yr note yield is down four basis points to 5.02% and the 10-yr note yield is up one basis point to 4.22%. Today’s economic calendar will be highlighted by the August Index Consumer Confidence Index and the July JOLTS – Job Openings Report, which will be released at 10:00 a.m. ET. Other data releases today include the June FHFA Housing Price Index and June S&P Case-Shiller Home Price Index at 9:00 a.m. ET. (Michael Gibbs, Managing Director, Lead Portfolio Manager) Markets: The S&P 500 traded in a tight range and closed higher at 4433.31, and the RSI index closed higher in support at 48.59. The volume came in below average, with only 1,650,311,424 shares traded, but the up volume was 86%, showing demand was… Read More
Headline News: The S&P 500 futures are up 10 points and are trading 0.2% above fair value. The NASDAQ 100 futures are up 51 points and are trading 0.4% above fair value. The Dow Jones Industrial Average futures are up 100 points and are trading 0.3% above fair value. Equity futures have a positive disposition, building on Friday’s gains with positive price action in the mega-cap stocks. Brokerage stocks outperformed in China after officials confirmed reports that the stamp duty on stock trades will be cut in half. On a related note, Commerce Secretary Gina Raimondo will visit China this week to discuss advanced technology and semiconductor investment restrictions. There is no U.S. economic data of note today; however, the coming week will feature important releases that include the August Consumer Confidence Index, July JOLTS – Job Openings Report, the second estimate for Q2 GDP, July Personal Income and Spending, the August ISM Manufacturing Index, and the August Employment Situation Report. The 2-yr note yield is up three basis points to 5.08%, and the 10-yr note yield is down one basis point to 4.23%. 1.35% (Michael Gibbs, Managing Director, Lead Portfolio Manager) Markets: The S&P 500 traded lower most of… Read More
Headline News: The S&P 500 futures are up 21 points and are trading 0.5% above fair value. The NASDAQ 100 futures are up 166 points and are trading 1.1% above fair value. The Dow Jones Industrial Average futures are down 43 points and are trading 0.1% below fair value. Equity futures are mixed. A big pre-open gain in a large chipmaker, its blowout earnings results, and guidance have boosted the NASDAQ 100 and S&P 500 futures. Other chipmakers and megacaps are also trading higher ahead of the open, providing some added support to the broader market. Meanwhile, a loss in a large aerospace & defense company has kept a lid on the Dow futures. Treasury yields are nudging higher. The 2-yr note yield is up five basis points to 4.98%, and the 10-yr note yield is up one basis point to 4.21%. In central bank news, the Bank of Korea left its repurchase rate at 3.5%, as expected, while Bank Indonesia left its repurchase rate at 5.75%, also as expected. Turkey’s central bank hiked its key lending rate to 25% from 17.5%. 1.35% (Michael Gibbs, Managing Director, Lead Portfolio Manager) Markets: The S&P sold off sharply by 1.35% and closed… Read More
Headline News: The S&P 500 futures are up 21 points and are trading 0.5% above fair value. The NASDAQ 100 futures are up 166 points and are trading 1.1% above fair value. The Dow Jones Industrial Average futures are down 43 points and are trading 0.1% below fair value. Equity futures are mixed. A big pre-open gain in a large chipmaker, its blowout earnings results, and guidance have boosted the NASDAQ 100 and S&P 500 futures. Other chipmakers and megacaps are also trading higher ahead of the open, providing some added support to the broader market. Meanwhile, a loss in a large aerospace & defense company has kept a lid on the Dow futures. Treasury yields are nudging higher. The 2-yr note yield is up five basis points to 4.98%, and the 10-yr note yield is up one basis point to 4.21%. In central bank news, the Bank of Korea left its repurchase rate at 3.5%, as expected, while Bank Indonesia left its repurchase rate at 5.75%, as expected. Turkey’s central bank hiked its key lending rate to 25% from 17.5%. (Michael Gibbs, Managing Director, Lead Portfolio Manager) Markets: The S&P 500 rallied higher by 1.0% to close higher at… Read More
Headline News: The S&P 500 futures are up 25 points and are trading 0.6% above fair value. The NASDAQ 100 futures are up 114 points and are trading 0.8% above fair value. The Dow Jones Industrial Average futures are up 109 points and are trading 0.4% above fair value. Equity futures indicate a higher open after yesterday’s mega cap-driven gains in the S&P 500 and NASDAQ. The positive sentiment this morning has been supported by a pullback in the 10-yr Treasury note yield, which is down three basis points to 4.31%. A number of retailers have reported results and have been greeted with mixed responses. S&P Global downgraded its credit ratings and revised its outlook for multiple banks. This news follows last week’s warning from Fitch Ratings that it might be forced to downgrade the ratings of dozens of additional banks and Moody’s cutting the ratings of ten small to mid-sized U.S. banks a few weeks ago. Separately, concerns about China continue to linger in the background but have not upset market sentiment in the early going. Today’s economic calendar will feature the July Existing Home Sales report (Briefing.com consensus 4.15 million; prior 4.16 million) at 10:00 a.m. ET. (Michael… Read More
Headline News: The S&P 500 futures are up 25 points and are trading 0.6% above fair value. The NASDAQ 100 futures are up 114 points and are trading 0.8% above fair value. The Dow Jones Industrial Average futures are up 109 points and are trading 0.4% above fair value. Equity futures indicate a higher open after yesterday’s mega cap-driven gains in the S&P 500 and NASDAQ. The positive sentiment this morning has been supported by a pullback in the 10-yr Treasury note yield, which is down three basis points to 4.31%. A number of retailers have reported results and have been greeted with mixed responses. S&P Global downgraded its credit ratings and revised its outlook for multiple banks. This news follows last week’s warning from Fitch Ratings that it might be forced to downgrade the ratings of dozens of additional banks and Moody’s cutting the ratings of ten small to mid-sized U.S. banks a few weeks ago. Separately, concerns about China continue to linger in the background but have not upset market sentiment in the early going. Today’s economic calendar will feature the July Existing Home Sales report (Briefing.com consensus 4.15 million; prior 4.16 million) at 10:00 a.m. ET. (Michael… Read More
Headline News: The S&P 500 futures are up 22 points and are trading 0.5% above fair value. The NASDAQ 100 futures are up 103 points and are trading 0.7% above fair value. The Dow Jones Industrial Average futures are up 121 points and are trading 0.4% above fair value. Stock futures indicate a higher open after last week’s losses. Some buy-the-dip interest in the mega-cap space has boosted the broader market. The People’s Bank of China lowered its one-year loan prime rate by ten basis points to 3.45% while the 5-yr rate was left unchanged at 4.20% against expectations for bigger cuts. The 2-yr Treasury note yield is up five basis points to 4.96%, and the 10-yr note yield is up five basis points to 4.30%. (Michael Gibbs, Managing Director, Lead Portfolio Manager) Markets: On Friday, the S&P 500 traded down near support at 4328.08, and buyers came in to drive the index to a higher close at 4369.71. The index traded outside the lower Bollinger Band most of the day, typically a highly oversold indicator. Also, the internal and breadth indicators are in the oversold zone. So, we feel the path of least resistance today will be higher for… Read More
Headline News: The S&P 500 futures are up 19 points and are trading 0.4% above fair value. The NASDAQ 100 futures are up 86 points and are trading 0.5% above fair value. The Dow Jones Industrial Average futures are up 161 points and are trading 0.5% above fair value. Stock futures indicate a higher open, reflecting some ongoing buy-the-dip interest and optimism that the July Consumer Price Index (CPI) at 8:30 a.m. ET will support an on-hold policy position. The general tone in the market could change as investors digest the CPI report and what it might mean for the Fed’s decision about its next monetary policy step. Gains in mega-cap stocks have been added support factors. The Biden administration confirmed reports that new restrictions will be imposed on investment in Chinese semiconductors and other advanced technology. China’s Commerce Ministry said in response that it is severely concerned about the impending changes. Treasuries are little changed ahead of the CPI report. The 2-yr note yield is down one basis point to 4.79%, and the 10-yr note yield is down one basis point to 3.99%. (Michael Gibbs, Managing Director, Lead Portfolio Manager) Markets: The S&P 500 tested support at 4463.23 and… Read More
Headline News: The S&P 500 futures are up 12 points and are trading 0.3% above fair value. The NASDAQ 100 futures are up 63 points and are trading 0.4% above fair value. The Dow Jones Industrial Average futures are up 61 points and are trading 0.2% above fair value. The equity market is attempting to rebound from Friday’s afternoon selloff, which was broad-based and lacking a news catalyst. Early buying efforts are modest in scope, though, as interest rate angst continues to hang over the market. On a related note, Fed Governor Bowman (FOMC voter) said additional rate hikes are likely to be needed, while New York Fed President Williams (FOMC voter) suggested the Fed might be close to the peak rate but that it is uncertain how long the Fed will have to leave rates in restrictive territory. The July Consumer Price Index, which will be released on Thursday before the open, will certainly factor as a trading catalyst this week. Currently, the 2-yr note yield is up four basis points to 4.82%, and the 10-yr note yield is up four basis points to 4.10%. The U.S. Dollar Index is up 0.2% to 102.26. (Michael Gibbs, Managing Director, Lead Portfolio… Read More
Markets: The S&P 500 sold off sharply and moved past two key support levels to close lower at 4513.39. However, the volume was only average, with 2,445,212,160 shares traded, and the down volume was only 78%. The close below the 20-day average and the RSI index closing lower at 53.82 is a potential sign there will be more selling today. If so, the internal breadth indicators could continue to move further away from the overbought zone. We feel possible support at 4463.23 will hold if tested today. We are currently Intermediate-term bearish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal, and futures trading could present additional risk based on underlying commodities investments. The Relative Strength Index (RSI), developed by J. Welles Wilder, is a momentum oscillator that measures the speed and changes of price movements. The advance/decline line (A/D) is a technical indicator that plots the difference between the number of advancing and declining stocks on a daily… Read More
