All the major US indices ended Monday’s session up over 1%, managing a last-minute bounce ahead of today’s month-end. In fact, the upside momentum has continued in early trade this morning, before giving back gains ahead of the US open.
US indices later recovered their poise, although they don’t look as if they’ll manage to put much of a dent in their October...
European Markets
European stock indices were firmer in early trade, thanks to this morning’s rebound in US stock index futures. HSBC reported first thing and was little-changed after releasing a strong quarterly profit when compared to the same period last year, but which came in below expectations. There are also concerns about the bank’s exposure to Chinese...
US stock indices sold off sharply yesterday, with the S&P 500 crashing below 4,200 to hit its lowest level since May. There was an bounce this morning, thanks in part to a stellar set of earnings from Amazon. Revenue was up 13% for the quarter, and earnings per share came in at $0.94 versus $0.58 expected. A restructuring plan which included 17,000 layoffs was a...
Tech stocks have been at the vanguard of this week’s sell-off. We’ve seen some of the ‘Magnificent Seven’ release results this week, which, while beating expectations for revenues and earnings, have sold off sharply regardless.
Two cases in point: Alphabet after the close on Tuesday and Meta Platforms last night. With the former, the stock ended down 9.5%...
Last Friday gold came within a few bucks of the $2,000 level. But it has pulled back from there and yesterday came close to a retest of $1,950 as support. But it is the area roughly between $1,970 and $1,980 where the tussle is currently playing out. This area acted as resistance in June and July this year.
Having met with buying whenever it has dropped below...
On Friday the S&P 500 broke below 4,200 and the support line of the upward-trending price channel which has been developing since the low hit in October last year. Then in early trade yesterday the index broke below 4,200 to hit its lowest level since the beginning of June, in a continuation of the decline which began last week.
This looked like a significant...
In the latest #TradewithDave update we look back at last week’s big events, and consider what’s happening in the week beginning 23rd October.
Markets react to escalating hostilities
• Wednesday saw investors react to a further escalation in hostilities between Hamas and Israel.
• In the aftermath the devastating explosions at the al-Ahli Hospital in Gaza...
US stock index futures were sharply lower in early trade on Friday, adding to losses from the last three sessions. Looking at the daily chart we can see another retest of support at the bottom of the upwardly-sloping trendline. The catalyst for yesterday’s move came in a speech from Fed Chair Jerome Powell. He reiterated his opinion that inflation was still too...
On Monday the S&P 500 put in a strong performance, ending the day over 1% higher above 4,370. This move represented a decent recovery from the sell-off at the end of last week which saw the index fall towards 4,300 before buyers came in ahead of Friday’s close.
Today saw the index pull back again, ignoring some sold Q3 earnings reports. It fell further...
In the latest #TradewithDave update we look back at last week’s big events, and consider what’s happening in the week beginning 16th October.
Q3 earnings season gets underway
• Last Friday saw the unofficial start to the third quarter earnings season with results from JP Morgan, Citigroup, Wells Fargo, BlackRock and United Health.
• The banking giants posted...
Suddenly, there are signs of life in the gold market. As of Friday afternoon, the yellow metal is up close to 3% and trading around $1,920 an ounce. That is quite a significant move in just one day, and represents a gain of 6% from the low hit this time last week. It’s possible that gold has put in a bottom around the $1,810/20 area, although there is the danger...
Earlier today we got the latest update on US inflation in the form of the Consumer Price Index (CPI). Looking at the year-on-year data, Core CPI, which excludes food and energy, came in at +4.1%, as expected, and below last month’s reading of +4.3%. This means that the downward trend in Core inflation since September last year, continues. As far as Headline CPI...
Last week gold was testing an area of support just a tad north of $1,800. This area had held up prices in February and March this year, and had acted as significant resistance back in August 2022. Last week there didn’t appear to be much going in gold’s favour. But as it traded sideways in a band between $1,830 and $1,810 we noted that the MACD on the four-hour...
Friday’s Non-Farm Payroll update initially saw stock indices swoon and bond yields jump. This was in reaction to the news of a 336,000 increase in September’s Non-Farm Payrolls, way above the 170,000 expected. In addition, the prior reading was revised up by 40,000. Overall, this was enough to convince investors of continued robustness in the US labour market,...
We look back at last week’s big events, and consider what’s happening in the week beginning 9th October.
Equities fight back
US stock indices had a dismal September, with all the majors posting significant losses for both the month and the third quarter. Investors are hoping for a better return in October, although the early indications haven’t been good....
We’ve had a clutch of US employment updates this week. On Tuesday JOLTS Job Openings came in above expectations which saw bond yields jump and stock indices fall. The following day the ADP Private Payroll report came in well below expectations, leading to a fall in bond yields and a jump in equities. Weekly Jobless Claims were in line with expectations, and...
The sell-off in gold has been protracted. It has fallen over 12% since hitting a record high of $2,082 just six months ago. It is currently hovering above $1,800 – a level which acted as support between February and March this year, and as resistance in August last year.
Gold was trading at $1,600 in November 2022, before it rallied sharply to hit May’s record...
The US dollar remains king of the FX heap, with the Dollar Index (DXY) hitting its highest level since November 2022. As can be seen from the daily chart, the DXY has broadly kept within the boundaries of an upwardly-sloping trend channel since July this year. The big question is whether it has further to run to the upside or if it’s due a correction.
It’s...
![SPX: [b]S&P looks fragile[/b]](https://s3.tradingview.com/6/6PlutF4g_mid.png "[b]S&P looks fragile[/b]")
![GOLD: [b]Gold consolidates[/b]](https://s3.tradingview.com/b/bCvoB4l3_mid.png "[b]Gold consolidates[/b]")
