Lithium Universe (LU7:AU) has announced Supplementary Prospectus
Download the PDF here.
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Stock futures are trading slightly lower Monday morning as investors gear up for the final month of 2024. S&P 500 futures slipped 0.18%, alongside declines in Dow Jones Industrial Average futures and Nasdaq 100 futures, which dropped 0.13% and 0.17%, respectively. The market’s focus is shifting to upcoming economic data, particularly reports on manufacturing and construction spending, ahead of this week’s key labor data releases.
November was a standout month for equities, with the S&P 500 futures rallying to reflect the index’s best monthly performance of the year. Both the S&P 500 and Dow Jones Industrial Average achieved all-time highs during Friday’s shortened trading session, with the Dow briefly surpassing 45,000. Small-cap stocks also saw robust gains, with the Russell 2000 index surging over 10% in November, buoyed by optimism around potential tax cuts.
As trading kicks off in December, investors are keeping a close eye on geopolitical developments in Europe, where France’s CAC 40 index dropped 0.77% amid political concerns, while Germany’s DAX and the U.K.’s FTSE 100 showed smaller declines.
S&P 500 futures will likely continue to act as a key barometer for market sentiment, particularly as traders assess the impact of upcoming economic data and global market developments.
S&P 500 Index Chart Analysis
This 15-minute chart of the S&P 500 Index shows a recent trend where the index attempted to break above the resistance level near 6,044.17 but retraced slightly to close at 6,032.39, reflecting a minor decline of 0.03% in the session. The candlestick pattern indicates some indecisiveness after a steady upward momentum seen earlier in the day.
On the RSI (Relative Strength Index) indicator, the value sits at 62.07, having declined from the overbought zone above 70 earlier. This suggests that the bullish momentum might be cooling off, and traders could anticipate a short-term consolidation or slight pullback. However, with RSI above 50, the overall trend remains positive, favoring buyers.
The index’s recent low of 5,944.36 marks a key support level, while the high at 6,044.17 could act as resistance. If the price sustains above the 6,020 level and RSI stabilizes without breaking below 50, the index could attempt another rally. Conversely, a drop below 6,020 could indicate a bearish shift.
In conclusion, the index displays potential for continued gains, but traders should watch RSI levels and price action near the support and resistance zones for confirmation.
The post Stock Futures Lower after S&P 500 futures ticked down 0.18% appeared first on FinanceBrokerage.
Stock futures climbed on Wednesday, driven by strong performances from Salesforce and Marvell Technology, following upbeat quarterly earnings. Futures tied to the Dow Jones Industrial Average rose by 215 points (0.5%), while S&P 500 futures gained 0.3%, and Nasdaq-100 futures advanced by 0.7%.
Salesforce surged 12% after reporting fiscal third-quarter revenue that exceeded expectations, showcasing robust demand in the enterprise software sector. Meanwhile, chipmaker Marvell jumped 14% after surpassing earnings estimates and providing optimistic fourth-quarter guidance, indicating resilience in the semiconductor industry.
This movement follows a mixed session on Wall Street, where the S&P 500 and Nasdaq closed with small gains, while the Dow dipped slightly. The broader market has experienced a modest start to December, contrasting with November’s robust rally, but analysts anticipate a resurgence in momentum. LPL Financial’s George Smith pointed out that December historically sees strong market performance, particularly in the latter half of the month.
However, economic data introduced some caution. ADP’s report revealed that private payrolls grew by just 146,000 in November, missing estimates of 163,000. This signals potential softness in the labor market, with investors now awaiting Friday’s November jobs report for further clarity.
S&P 500 Index Chart Analysis
Based on the provided stock chart, which appears to be a 15-minute candlestick chart for the S&P 500 Index, here’s a brief analysis:
The chart shows a clear upward trend, with higher highs and higher lows indicating bullish momentum over the analyzed period. The index has steadily climbed from a low of approximately 5,855 to a recent high of 6,053.58, suggesting strong buying interest.
Key resistance is observed near 6,050-6,053 levels, as the price has struggled to break above this zone in the most recent sessions. If the index breaches this level with strong volume, it could lead to further upward movement. Conversely, failure to break out may lead to a pullback, with potential support around the 6,000 psychological level and 5,980, where consolidation occurred previously.
The candlestick patterns show relatively small wicks, indicating limited volatility, which could imply steady market confidence. However, the bullish rally could be overextended, warranting caution for traders, especially if any negative catalysts emerge.
In summary, the short-term trend is bullish, but traders should monitor resistance levels and volume for signs of a breakout or reversal. It’s also essential to watch broader market factors, as indices are often influenced by macroeconomic data and sentiment.
The post S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7% appeared first on FinanceBrokerage.
When Noah Jackson began his search for a new software engineering job at the start of 2024, there was one quality he knew he wanted in his next employer: office culture.
Jackson, 27, has spent almost his entire professional career in the post-Covid world of remote work. While many tech companies eventually brought employees back on a hybrid basis, others got rid of their leases altogether. For Jackson, all but the first nine months of his first real job involved working out of his home in San Francisco or at his company’s office, which tended to be mostly empty.
“Coming out of school, I overlooked how much work is really a part of your life and not just a box to check off,” said Jackson, who previously worked at an enterprise software company. “Being fully remote, it feels like it’s just like a thing that you have to do.”
In May, Jackson got his wish, taking a job at Tako, a visualization search engine startup that requires employees come to the office four days a week. Tako is among a growing crop of early-stage tech companies in San Francisco attempting to return to the pre-Covid days, when startups took pride in their digs and limited their use of Zoom.
“We’re not trying to build a culture that works for everybody,” said Tako CEO Alex Rosenberg, who launched the company earlier this year. “We’re just trying to make it work for Tako.”
The recruitment success enjoyed by Tako and its peers speaks to a growing remote work fatigue, particularly in San Francisco, where housing conditions are often cramped and where a high concentration of young, ambitious techies are eager to comingle. The changing landscape also coincides with a boom in artificial intelligence that started after OpenAI’s launch of ChatGPT in late 2022. It’s one of the few areas where venture capital firms are showing an appetite for risk.
Rosenberg says he’s seeing a much more competitive real estate market in San Francisco as emerging companies duke it out for deals on office space after an extended stretch of high vacancy rates.
“When you’re trying to invent something new, it’s really hard to do that over Zoom,” said Rosenberg, whose company is run out of a coworking space in San Francisco’s Pacific Heights neighborhood, a couple miles from the downtown business districts.
Tako has been on the hunt for a bigger space, preferably in the Hayes Valley neighborhood, a hub for generative AI startups, or in downtown Jackson Square.
Overall, the San Francisco office market remains tepid, with the vacancy rate climbing to 34.9% in the third quarter from 29.4% a year ago, according to data from Cushman & Wakefield. However, AI startups OpenAI and Sierra AI accounted for two of the largest leases in the period, and the firm said, “artificial intelligence companies will continue as a driving force in the San Francisco market, fueling significant VC funding and leasing activity.”
According to Liz Hart, North America president of leasing at commercial real estate firm Newmark, tech made up 72% of all San Francisco office leasing in 2023 and 58% through the third quarter of this year.
Since the start of 2023, 62% of AI leases signed in the city have been for sublease space, Hart said, an indication of how the market has adapted since the pandemic. Rather than leasing entire floors to single companies, more offices are now being divided up to serve multiple startups, she said.
Still, office rents across the city are at their lowest since 2016, according to Newmark’s data.
“If you are talking to entrepreneurs who are just starting to scale, they’re likely taking a little bit more space than they know that they need and getting a screaming deal on it,” said Hart, who joined the firm almost 20 years ago.
How quickly the broader market bounces back depends largely on the decisions made by huge San Francisco tenants like Salesforce and Google. While Amazon, which is headquartered in Seattle, recently announced a five-day in-office requirement, most of its tech rivals have yet to implement such mandates.
Zach Tratar was able to snatch up an ideal space for his company Embra last year through sheer hustle. When his broker messaged him about a promising location, Tratar showed up 90 minutes later, beating another prospective lessee to the spot, which is by the Salesforce Tower.
“I immediately was like, ‘Cool, I’ll take it. Send me the paperwork right now,’” said Tratar, whose company is building an AI operating system. He estimates the office would likely have cost his company twice as much before the pandemic.
Tratar said his plan from the start was to have employees come to the office four days a week, with Wednesdays reserved for remote work.
“In-person teams have a magic to them,” Tratar said. “When one thing is going well it adds energy to the system and people get excited.”
The AI renaissance has familiar qualities for veterans of the Bay Area. The app economy that followed the launch of the iPhone in 2007 sparked a wave of investment and a flood of new companies in San Francisco and Silicon Valley. There was also the boom in social networking and, before that, the internet bubble.
“We’ve seen enormous growth in the category, but we’re really just at the beginning,” Hart said, about the current state of AI.
However, in today’s world, companies have to earn their employees’ commutes to the office, Hart said, because of how dramatically the pandemic changed expectations.
Startups have to be thoughtful about access to public transit while also catering to people who drive. There’s also a benefit to being near restaurants and cafes.
AI startup Mithrl is offering employees commuter benefits and free meals, said CEO Vivek Adarsh. Mithrl moved into an office on San Francisco’s Market Street in July.
Adarsh started the company with his co-founder last year after finishing graduate school at the University of California, Santa Barbara. The pair moved to San Francisco for the nucleus of talent and because they believe in the future of the city, Adarsh said.
“There’s a lot of enthusiasm and energy,” Adarsh said. “People are taking more chances on the city.”
A few miles away, in the Mission District, robotics startup Medra has been in person five days a week since launching in 2022. CEO Michelle Lee said that when she speaks with her peers, many tell her that they’re thinking about switching to in-person work, but that moving away from hybrid is a difficult sell to employees who prefer the status quo.
Y-Vonne Hutchinson, a work culture expert, said when companies make drastic changes like that, “you’re eroding trust.”
Hutchison is CEO of Superessence, whose AI tool lets companies assess their cultures. She said that physical offices provide benefits for younger employees who may be looking for mentorship, growth and career opportunities.
There are limitations. A lot of people moved during the pandemic, and employers started catering to those who want to be fully remote. Being in the office for four or five days, especially in a city as expensive as San Francisco, is particularly tough for parents, people with disabilities and those with long commutes.
“You reduce your hiring pool significantly when you’re doing in person,” Hutchinson said.
Lee recognizes the challenge and knows she’s limited in her ability to hire talent from elsewhere in the country. But she said that being in person has ultimately helped with recruiting.
In November 2023, Lee visited the website Hacker News and saw a post by a senior engineer who said he was specifically looking to work for companies with in-person cultures. Lee looked at his qualifications and said she was shocked. She called the post a “green flag” and immediately reached out.
Within a month, the prospect had joined Medra.
“It would’ve been so difficult for us as a company to hire someone like this because we’re a small startup,” Lee said. “But part of it is there are some really amazing engineers specifically looking for in person because of that collaboration.”
This post appeared first on NBC NEWS
Chartists looking for stock setups can start with strong industry groups. The Fintech (FINX) is in a strong uptrend and leading, but looking extended short-term. While there is no setup currently, we can learn from past setups and apply these lessons to stocks within the group.
FINX is both strong and extended. The chart shows FINX advancing 53.6% from November to March. It then moved into a long corrective period as the falling channel formed over the next five months. This correction ended with a breakout in late August and the ETF recorded its first new high in mid September. FINX extended further and led the market over the last four months.
Even though FINX shows no signs of weakness on the price chart, it is becoming quite extended because the 10-day EMA is over 20% above the 200-day EMA. The bottom window shows this difference using the PPO(10,200,0). I use this mostly as trend indicator. It turns bullish with a move above +3% and bearish with a move below -3%. These signal buffers reduce whipsaws and catch big trends.
With FINX looking extended, it is time to exercise some patience and wait for the next opportunity. The blue dashed lines show short-term bullish continuation patterns within the strong uptrend. These represent tradable pullbacks. We can use these examples as a guide in the future, and also look for tradable pullbacks individual fintech stocks.
The indicator window shows %B, which quantifies the relationship between the close and the 20-day SMA. The pullbacks were quite mild as %B dipped below .50 just twice. This means the close was below the 20-day SMA, which is the middle line on the Bollinger Bands. A decline to the 20-day SMA signals a pullback within the uptrend and this is an opportunity, not a threat.
Extended or not, FINX is still a leader and still in a strong uptrend. This means fintech stocks provide a good hunting ground for bullish setups. Pullbacks and oversold conditions provide opportunities. This report continues at TrendInvestorPro where I feature a fintech stock with one such setup. Click here to see the full report and learn more. This week we featured tradable setups in over a dozen ETFs and stocks.
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The markets closed with gains for the third week in a row as the key indices posted gains while extending their technical rebound. The Nifty had a trending week; it trended higher most of the week. The volatility was largely absent, but the Indices stayed quite choppy on most days except the last day, where it remained flat. The volatility stayed largely subdued; the India VIX retraced by 1.98% to 14.14 on a weekly note. The trading range stayed wider; the Nifty oscillated in an 849-point range over the past five sessions. The headline index finally closed with a net weekly gain of 546.70 points (+2.27%).
The markets have paused themselves at a crucial juncture. The Nifty has closed above the 50-DMA, which is presently at 24548. It is just a notch below the 100-DMA at 24707. This level also coincides with the 20-week MA placed at 24720 on the weekly timeframe. So, unless the Nifty closes well above 24720, we have to fairly take the zone of 24700-24750 as an immediate important resistance for the markets on a closing basis. For this technical rebound to extend, moving past and staying above 24750 would be necessary for the markets. On the other hand, the Nifty has rebounded off the 50-week MA; this level, placed at 23432, is the most crucial support for the Nifty if it has to keep the current primary trend intact.
Monday is likely to see a quiet start to the week; the levels of 24750 and 24900 are likely to act as resistance levels for the Nifty. The supports come in at 24450 and 24300 levels.
The weekly RSI is at 55.52; it is neutral and does not show any divergence against the price. The weekly MACD stays bearish and below its signal line. The PPO remains negative.
The pattern analysis of the weekly charts shows that the Nifty has completed a painful process of mean reversion. At one point, the Index was trading over 10% above the 50-week MA; the current retracement saw the Nifty testing this level a couple of weeks ago. The 50-week MA test at 23463 offered strong support, and the market rebounded from those levels. Presently, the Index has closed just below the 100-DMA and 20-week MA.
The up move after the Nifty took support at the 50-week MA has seen the Index rallying by over 1200 points. There is a possibility that Nifty may consolidate again for some time before it extends the current move. The banking and financial space is exhibiting strong relative strength. While this may continue, sectors like IT, Auto, Realty, etc., will likely show good momentum over the coming days. However, the Index is near its crucial resistance zone; this makes it necessary to guard profits at current levels. It is important that instead of chasing all up moves, the prudent thing to do would be to mindfully protect gains and stay invested in the stocks showing improvement in their relative strength. A cautious approach is advised for the coming week.
Sector Analysis for the coming week
In our look at Relative Rotation Graphs®, we compared various sectors against CNX500 (NIFTY 500 Index), which represents over 95% of the free float market cap of all the stocks listed.
Relative Rotation Graphs (RRG shows that the Nifty Bank Index has rolled inside the leading quadrant. It is expected to relatively outperform the broader markets along with the IT, Services Sector, and Financial Services Indices that are also present in this quadrant.
The Nifty Midcap 100 index is improving relative momentum while being placed inside the weakening quadrant. The Nifty Pharma Index is also inside the weakened quadrant.
The Nifty FMCG, Auto, Energy, Commodities, and Infrastructure Indices are in the lagging quadrant. The Nifty PSE Index is also in the lagging quadrant; however, it is improving its relative momentum against the broader markets.
The Nifty Media Index has rolled back inside the improving quadrant. Besides this, the Metal, Realty, and PSU Bank Indices are also placed inside the improving quadrant.
Important Note: RRG charts show the relative strength and momentum of a group of stocks. In the above Chart, they show relative performance against NIFTY500 Index (Broader Markets) and should not be used directly as buy or sell signals.
Milan Vaishnav, CMT, MSTA
Consulting Technical Analyst
Stock futures are trading slightly lower Monday morning as investors gear up for the final month of 2024. S&P 500 futures slipped 0.18%, alongside declines in Dow Jones Industrial Average futures and Nasdaq 100 futures, which dropped 0.13% and 0.17%, respectively. The market’s focus is shifting to upcoming economic data, particularly reports on manufacturing and construction spending, ahead of this week’s key labor data releases.
November was a standout month for equities, with the S&P 500 futures rallying to reflect the index’s best monthly performance of the year. Both the S&P 500 and Dow Jones Industrial Average achieved all-time highs during Friday’s shortened trading session, with the Dow briefly surpassing 45,000. Small-cap stocks also saw robust gains, with the Russell 2000 index surging over 10% in November, buoyed by optimism around potential tax cuts.
As trading kicks off in December, investors are keeping a close eye on geopolitical developments in Europe, where France’s CAC 40 index dropped 0.77% amid political concerns, while Germany’s DAX and the U.K.’s FTSE 100 showed smaller declines.
S&P 500 futures will likely continue to act as a key barometer for market sentiment, particularly as traders assess the impact of upcoming economic data and global market developments.
S&P 500 Index Chart Analysis
This 15-minute chart of the S&P 500 Index shows a recent trend where the index attempted to break above the resistance level near 6,044.17 but retraced slightly to close at 6,032.39, reflecting a minor decline of 0.03% in the session. The candlestick pattern indicates some indecisiveness after a steady upward momentum seen earlier in the day.
On the RSI (Relative Strength Index) indicator, the value sits at 62.07, having declined from the overbought zone above 70 earlier. This suggests that the bullish momentum might be cooling off, and traders could anticipate a short-term consolidation or slight pullback. However, with RSI above 50, the overall trend remains positive, favoring buyers.
The index’s recent low of 5,944.36 marks a key support level, while the high at 6,044.17 could act as resistance. If the price sustains above the 6,020 level and RSI stabilizes without breaking below 50, the index could attempt another rally. Conversely, a drop below 6,020 could indicate a bearish shift.
In conclusion, the index displays potential for continued gains, but traders should watch RSI levels and price action near the support and resistance zones for confirmation.
The post Stock Futures Lower after S&P 500 futures ticked down 0.18% appeared first on FinanceBrokerage.
Stock futures climbed on Wednesday, driven by strong performances from Salesforce and Marvell Technology, following upbeat quarterly earnings. Futures tied to the Dow Jones Industrial Average rose by 215 points (0.5%), while S&P 500 futures gained 0.3%, and Nasdaq-100 futures advanced by 0.7%.
Salesforce surged 12% after reporting fiscal third-quarter revenue that exceeded expectations, showcasing robust demand in the enterprise software sector. Meanwhile, chipmaker Marvell jumped 14% after surpassing earnings estimates and providing optimistic fourth-quarter guidance, indicating resilience in the semiconductor industry.
This movement follows a mixed session on Wall Street, where the S&P 500 and Nasdaq closed with small gains, while the Dow dipped slightly. The broader market has experienced a modest start to December, contrasting with November’s robust rally, but analysts anticipate a resurgence in momentum. LPL Financial’s George Smith pointed out that December historically sees strong market performance, particularly in the latter half of the month.
However, economic data introduced some caution. ADP’s report revealed that private payrolls grew by just 146,000 in November, missing estimates of 163,000. This signals potential softness in the labor market, with investors now awaiting Friday’s November jobs report for further clarity.
S&P 500 Index Chart Analysis
Based on the provided stock chart, which appears to be a 15-minute candlestick chart for the S&P 500 Index, here’s a brief analysis:
The chart shows a clear upward trend, with higher highs and higher lows indicating bullish momentum over the analyzed period. The index has steadily climbed from a low of approximately 5,855 to a recent high of 6,053.58, suggesting strong buying interest.
Key resistance is observed near 6,050-6,053 levels, as the price has struggled to break above this zone in the most recent sessions. If the index breaches this level with strong volume, it could lead to further upward movement. Conversely, failure to break out may lead to a pullback, with potential support around the 6,000 psychological level and 5,980, where consolidation occurred previously.
The candlestick patterns show relatively small wicks, indicating limited volatility, which could imply steady market confidence. However, the bullish rally could be overextended, warranting caution for traders, especially if any negative catalysts emerge.
In summary, the short-term trend is bullish, but traders should monitor resistance levels and volume for signs of a breakout or reversal. It’s also essential to watch broader market factors, as indices are often influenced by macroeconomic data and sentiment.
The post S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7% appeared first on FinanceBrokerage.
After a broad market review, Mary Ellen shares strategies for trading pull backs and breakouts in stocks. Highlights include a deep dive into ARK’s Innovation ETFs and their holdings, locating market strength in the process. Tune in for valuable insights and tips to help you make informed investment decisions!
This video originally premiered December 6, 2024. You can watch it on our dedicated page for Mary Ellen on StockCharts TV.
New videos from Mary Ellen premiere weekly on Fridays. You can view all previously recorded episodes at this link.
If you’re looking for stocks to invest in, be sure to check out the MEM Edge Report! This report gives you detailed information on the top sectors, industries and stocks so you can make informed investment decisions.
The first trading week in December started on a positive note, with the S&P 500 ($SPX) and Nasdaq Composite ($COMPQ) notching new all-time highs, while the Dow Jones Industrial Average ($INDU) pulled back slightly. Despite the small upmoves for most days, it wasn’t a quiet week.
Surprisingly, a flood of news from around the world didn’t impact equity performance much. The broader equity indexes continued their bullish trends despite South Korea briefly going under martial law, the collapse of the French government, Fed Chairman Jerome Powell’s speech, and the higher-than-expected jobs number.
The stock market’s tone is bullish, and volatility is low. The Cboe Volatility Index ($VIX) is now below 13.
This StockCharts MarketCarpets snapshot below shows the S&P 500’s weekly performance. The heavily weighted mega-cap stocks fared well, but the best weekly performer was American Airlines (AAL), with a 19.83% gain.
FIGURE 1. STOCKCHARTS MARKETCARPETS TOOL FOR DECEMBER 6. Mega-cap stocks performed well this week. American Airlines was the top performer for the week.Image source: StockCharts.com. For educational purposes.
One area to watch is the small caps. The S&P 600 Small Cap Index ($SML) broke above its trading range in early November. It then pulled back and bounced off its support level (see chart below).
FIGURE 2. DAILY CHART OF S&P 600 SMALL CAP INDEX ($SML). After breaking out of a trading range in early November, $SML pulled back and bounced off a support level. It then consolidated and broke below the consolidation range. Is it heading back to its support level?Chart source: StockCharts.com. For educational purposes.
Since November 25, the index consolidated and broke below the consolidation pattern. $SML could be on its way back to the support level between 1440 and 1450. Generally, small caps start rising mid-December and continue into the next year. This is known as the “January Effect,” so it’s likely that $SML will bounce off that support and move higher. The market breadth indicators for $SML—percentage of stocks trading above the 50-day moving average and the advances vs. decliners are also declining. I’ll be carefully watching the price action in the next few weeks.
Solid Week For Crypto
This week was a big one for cryptocurrencies. Bitcoin to US Dollar ($BTCUSD) closed above 100,000, a record close. The weekly chart below shows that $BTCUSD had a strong upward move after breaking out of its consolidation pattern from March to October.
FIGURE 3. BITCOIN SURGES. The cryptocurrency successfully closed above its 100,000 level on Friday.Chart source: StockCharts.com. For educational purposes.
The moving average convergence/divergence (MACD) is very bullish. The rise in cryptocurrency prices shows investors’ risk appetite is pretty strong.
In Other News
The broader equity indexes may have been moving up in dribs and drab,s but some stocks saw significant gains, mainly due to earnings.
Shares of Docusign (DOCU) rose on much better-than-expected earnings. Docusign’s stock price closed up by 27.86% on Friday. Lululemon Athletica, Inc. (LULU) is another stock that saw a 15.90% rise in its stock price on stellar earnings. Other retail and software companies, such as Amazon.com, Inc. (AMZN), International Business Machines (IBM), American Express Co. (AXP), and Home Depot (HD), saw significant percentage gains in Friday’s trading.
Next week, we get earnings from Adobe Systems, Inc. (ADBE), Broadcom Inc. (AVGO), Oracle Corp. (ORCL), and Costco (COST). All these stocks saw healthy gains this week. Although a big chunk of earnings is behind us, there are some exciting ones on deck.
Bond Blues in Rear-View Mirror?
Treasury yields declined while bond prices rose a little. The weekly chart of the iShares 20+Year Treasury Bond ETF (TLT) below shows TLT approaching its first resistance line. This happened before, which caught me off guard—a lesson learned. But now that bonds are creeping back up, I may give it another go.
FIGURE 4. DAILY CHART OF TLT. Bond prices are rising slowly but it may be a while before there are significant moves, given the low bond volatility.Chart source: StockCharts.com. For educational purposes.
Bond volatility is low, as seen by the ICE MOVE Index in the lower panel. This suggests that bond price movement may be small, so this time, I might wait until the next resistance level, just above $102, before I go long.
Next week is light on economic data, but we will get the November CPI and PPI. There’s also the December 18 Fed meeting. I’d wait for these events before making investment decisions on TLT.
According to the CME FedWatch Tool, the probability of a 25 basis point rate cut at the Fed meeting is around 85%. It’s more important to hear what the Fed says about interest rate cuts for 2025. If it’s different from what the market has priced in, that will have more of an impact on the market.
End-of-Week Wrap-Up
- S&P 500 up 0.96% for the week, at 6090.27, Dow Jones Industrial Average DOWN 0.60% for the week at 44,642.52; Nasdaq Composite up 3.34% for the week at 19,859.77
- $VIX down 5.48% for the week, closing at 12.77
- Best performing sector for the week: Consumer Discretionary
- Worst performing sector for the week: Energy
- Top 5 Large Cap SCTR stocks: Applovin Corp. (APP); Palantir Technologies (PLTR); Reddit Inc. (RDDT); MicroStrategy Inc. (MSTR); Axon Enterprise, Inc. (AXON)
On the Radar Next Week
- November Consumer Price Index (CPI)
- November Producer Price Index (PPI)
- 30-Year Mortgage Rate
- Earnings from Oracle (ORCL), Broadcom (AVGO), Adobe (ADBE), Costco (COST)
Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.