Nasdaq En Route to Post Best January in Decades Ahead of Fed What's Next?
The Nasdaq Composite has posted nearly a 10% gain in January, the best since 2021. With the Federal Reserve about to raise rates, the squeeze may be about to end, but traders appear to be resilient by pricing in lower rates. Who blinks first? (COTY, CVNA, LEN, SU, BB, TGT)
The Squeeze Continues as Tech Surges 2%
The bear market rally continues as Technology, Communications and Cyclicals power higher ahead of the Federal Reserve announcement next week. The current rally mirrors the list of the highest beta names of the S&P 500 as represented by the Invesco S&P 500 High Beta ETF (SPHB) and the most-shorted publicly traded stocks. When is the…
Tech-Led Rally Fizzles with Powell and CPI on Deck This Week
It started out so promising with a large rally in semiconductors. However, the optimism faded as the reality of Fed Chairman Powell's speech on Tuesday and CPI data on Thursday. While the market remains more bullishly biased as volatility-based indicators aren't peaked, it's still a wildcard if the Fed pulls the rug and CPI disappoints.…
2023 Kick-off with Apple Losing $2T with Big Option Trades on GLD and XLE
After 2022, many were hoping for an early reversal in 2023. After an early rally, stocks like Apple Inc. (Nasdaq: AAPL) began to drag the market lower, losing its $2 trillion market cap in the process. While the tenor was more bearish, the late-day rally found the market close to where it finished 2022. During…
S&P Falters as Large Print Hits Late in Session: Time to Get Bullish?
On a light day for data, the S&P 500 grinded near lows as the bounce failed to materialize. The hangover from the Fed's statement last week clearly hasn't cleared and questions abound over how the market will end the year. The large print on the SPY may give us some guidance on that front (NKE,…
Santa or Grinch? Big Week Ahead as Volatility Expectations Soar!
The VIX rose today as S&P finished over one-percent higher on the session. That's highly unusually, but fitting given the slate of economic news and the FOMC meeting that is on tap this week. Of course, it's Tuesday's CPI inflation data that is at the forefront on the economic side, and the big news will…
Did Santa Come Early? Risk on or Off Into 2023?
Positive data today pushed stocks lower as the U.S. Dollar strengthened. With a bullish October and November, is December slated to be a dud, or is this only a bump in the road to a strong finish to 2022? (KRE, BX, MS, ACRE, BTU)
Recession Back on the Table? Energy Traders Seem to Think So
One of the strengths to the market in 2022 has been the energy trade. Back from 2020 obscurity, it looked like it was poised for the next secular bull. However, with recent data pointing to weakness headed into 2023, it didn't take much for Fed Speak to drive energy equities lower. As the dollar positions…
Bulls Looking to Give Thanks but US Dollar may Run Off with the Turkey
Bulls hoping Black Friday Deals include stocks moving higher to end 2022. However, today's bullish move in the US dollar may spoil the party as the traditional bullish year end clearance comes up short. (TSLA, HYG, HD, SLV, AEO, CROX, USFD, XLE, NWL)
The Curious Case for the Bulls as the S&P Reaches 2-Month High
The S&P 500 faded from its two-month high as the wall of worry may be building. The curious case of falling margin and revenues while prices rise may be solved soon, but these volatility gauges suggest that we're not there yet. (WMT, XLP, AAPL, SYF, COF)