|Day's Range||13.41 - 13.41|
Initial jobless claims fell 6,000 to 216,000 for the week ended June 15, which was below the 220,000 claims that economists had expected. This weekly decrease showed that the labor market still appears healthy overall.
My call is to sell strength in the stock market as Spiders trade up to the second quarter risky level at $297.56. My prior call was to buy QQQs on weakness to its annual value level at $169.27, which was tested on June 3. Most on Wall Street say "nobody can time the market," but I say you can! You do so by reading daily and weekly charts and knowing the key levels and signals that provide guidelines on when to sell on strength and buy on weakness.
U.S. markets and stock exchange traded funds continued to strengthen, with major benchmarks breaking into new highs, on hopes of renewed trade talks between Washington and Beijing after U.S. Vice President ...
Gold is outperforming stocks even when stock markets are making highs. The SPDR Gold Shares (GLD) has gained 8.7% in the last one month, and the VanEck Vectors Gold Miners ETF (GDX) has amplified that return by rising 21.1% in the same period.
On the heels of another robust trading day -- bringing the S&P 500 index to all-time highs, as well as striking distance of 3000 points -- we're seeing a slight pullback this morning in the pre-markets.
The Fed’s dovish stance is in response to the increased economic uncertainty and rising geopolitical risks. Gundlach told Reuters that for the Fed to cut interest rates in July, the economic data has to be weak. Currently, the fed fund futures imply that traders are pricing in a 100% chance of a Fed rate cut in July.
The overall investor sentiment has been bearish given the US-China trade tensions and deteriorating economic reports. In addition to bonds (BND), investors are also looking to gold due to its safe-haven appeal. Not only this, there are many other factors that are currently going in gold's favor.
U.S. markets and stock exchange traded funds maintained their momentum on Thursday, with the S&P 500 breaking into a record high, on rising expectations that the Federal Reserve will shift to a loose monetary policy with interest rate cuts as soon as next month to counteract the negative effects of a prolonged U.S.-China trade war. On Thursday, the Invesco QQQ Trust (QQQ) was up 0.9%, SPDR Dow Jones Industrial Average ETF (DIA) gained 0.9% and SPDR S&P 500 ETF (SPY) rose 1.0%. At the end of its two-day policy meeting on Wednesday, the Federal Reserve left its benchmark rates unchanged but stated it would "act as appropriate" to support the economy, fueling speculation and the risk-on market sentiment on bets of a rate cut in the near future.
Bank of America Merrill Lynch conducted a survey that polled 230 global investors with $645 billion in total assets under management between June 7 and June 13. The asset allocation of fund managers implies recessionary conditions.
Today at 2:15 PM ET, Apple shares (AAPL) were hovering just below the psychologically key level of $200 at $199.50 with 0.8% gains for the day. After losing 12.8% in May due to escalating US-China trade tensions, Apple stock has risen 13.0% in June. Let's take a closer look.
This morning the US stock market opened on a strong bullish note after the Federal Reserve hinted at a cut in interest rates yesterday. Also, renewed US-China trade optimism helped the S&P 500 Index reach new heights today. The world’s two largest economies have started trade negotiations once again ahead of US President Donald Trump and Chinese President Xi Jinping’s meeting next week.
U.S. markets and stock exchange traded funds continued to strengthen Wednesday after the Federal Reserve signaled potential interest rate cuts later this year, bolstering investors' confidence that the economy can weather any storms brought by the ongoing trade war with China. On Wednesday, the Invesco QQQ Trust (QQQ) was up 0.4%, SPDR Dow Jones Industrial Average ETF (DIA) gained 0.1% and SPDR S&P 500 ETF (SPY) rose 0.2%. After its latest meeting, the Fed said it “will act as appropriate to sustain” economic expansion, signaling the possibility of rate cuts of as much as half a percentage point over the remainder of 2019 to back up its promise, Reuters reports.
After Tuesday's big rally, Wednesday's session was muted most of the day, but it wasn't boring. What moved the Nasdaq today? As is typically the case on FOMC meeting days, the Federal Reserve was on everyone's radar.Source: Shutterstock While the market was pricing in a roughly 25% chance of a rate cut this month, it was no surprise that the Fed held steady. But that doesn't mean they will continue to do so going forward. According to the Fed Funds futures, there's a 77% chance that the Fed will cut rates next month. Further, the market is pricing in a 62% chance that the Fed cuts twice by its September meeting.On some level, that feels bearish given that the Fed shouldn't be cutting rates in a healthy environment. That said, with the U.S. economy mostly humming along, investors don't want to fight the Fed. If it's willing to be accommodative and dovish, investors don't want to be stubborn.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 5 Top Stock Trades for Thursday: UBER, JBL, ADBE, SHOP That can be a boon for tech stocks, which tend to thrive in a low interest rate environment. If that ends up being the case, look for the PowerShares QQQ ETF (NASDAQ:QQQ) to benefit. Wednesday's WinnersChip stocks, like Advanced Micro Devices (NASDAQ:AMD), Nvidia (NASDAQ:NVDA) and Broadcom (NASDAQ:AVGO) held up well on Wednesday after Tuesday's powerful rally. Should the trade-war rhetoric continue to improve, the semiconductors should continue to see upside.Adobe Systems (NASDAQ:ADBE) jumped more than 5% in Wednesday's session, after the company beat on earnings and revenue expectations. However, management's outlook for next quarter came up short of expectations, which makes today's rally somewhat peculiar. It appears that investors are willing to give ADBE the benefit of the doubt and seem to like the partnership with Microsoft (NASDAQ:MSFT).Speaking of MSFT, shares hit yet another new highs on the day, after doing so on Tuesday as well.Jabil Inc (NYSE:JBL) jumped double digits on the day, rising more than 10% after better-than-expected earnings. Non-GAAP earnings of 57 cents per share was in-line with expectations, while revenue of $6.14 billion beat consensus estimates by $130 million and grew 12.9% year-over-year. Now, the stock is flirting with a major multi-year breakout.T-Mobile (NASDAQ:TMUS) tacked on another 2.4% gain on Thursday, as it looks increasingly likely that it will get the green light from the DoJ to acquire Sprint (NYSE:S). The latter rose 3% on the same optimism, as reports peg Dish Network (NASDAQ:DISH) as the likely suitor to buy the duo's asset sales, which are necessary for regulatory approval.Shopify (NYSE:SHOP) jumped 7.5% to new highs following a positive take from its investor meeting. The stock hit another new all-time high on the day as the Shopify train just keeps on rolling. Should shares hit $356, it will be a triple from the December lows. The LosersVideo game stocks struggled on Wednesday, led lower by Activision Blizzard (NASDAQ:ATVI), which fell about 1%. Take-Two Interactive Software (NASDAQ:TTWO) ended flat after a strong last hour of trading, while Electronic Arts (NASDAQ:EA) ending higher on the day despite a lower open. The group was under pressure Wednesday following video game sales data showing an 11% year-over-year decline for May, while hardware sales slumped 20%.Facebook (NASDAQ:FB) struggled again on Wednesday. The stock opened at its highs on Tuesday, but fell despite announcing its new cryptocurrency. That selling continued today, with the stock down 0.53%. It cast a shadow over social media stocks, with Twitter (NYSE:TWTR) falling 1%, Snap (NYSE:SNAP) dropping 1.3% and Pinterest (NYSE:PINS) sinking 2.5%. The Bottom Line on the Nasdaq TodayThe Fed was the most polarizing event of the day and its aftermath will show itself in the days and weeks to come. Will the event act as a catalyst to propel stocks to new highs? After all, the Nasdaq is less than 200 points or about 2.1% away from those highs now. Or will investors sell the market lower despite the Fed's accommodative stance?Let price be the guide. If Wednesday's closing action is any indication, buyers want in on the market heading into the early part of summer.What I really want to see how is how the Nasdaq, S&P 500 and Dow Jones trade through the rest of the week. While they rose 0.42%, 0.33% and 0.15% on Wednesday, respectively, I want to see if the move has staying power. A strong finish to the week very well could bring new highs, but we need to see that continuation to confirm it. * Dow Jones Today: Stocks Almost Had Some Fed Fun Let's see if chip stocks can continue to push higher and if Adobe can climb up toward $300. And for Pete's sake, can we get some participation from the FANG stocks?Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell was long AMD, AVGO, NVDA and PINS. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Value Stocks to Buy for the Second Half * 7 Hot Stocks to Buy for a Seemingly Sleepy Summer * 6 Chip Stocks Staring At Big Headwinds in 2019 Compare Brokers The post Nasdaq Today: All Eyes on the Fed appeared first on InvestorPlace.
The CME Group launched micro e-mini contracts for the S&P 500, Russell 2000, Dow Jones 30 and Nasdaq100 indices at a much lower cost than the existing e-mini futures.
If the Fed doesn't signal significant easing ahead, the markets could nosedive. Many analysts agree that the markets might be overpricing the Fed's rate cuts this year.
Today at 2 PM ET, the Federal Reserve will announce its interest rate decision, which will be followed by its press conference at 2:30 PM ET. Investors are hoping for a rate cut and a dovish statement from the Fed. On June 4, Fed Chair Jerome Powell’s statement that “we will act as appropriate to sustain the expansion” drove a stock market rally.
This afternoon, Fed Chair Jerome Powell is expected to give public remarks on the state of the U.S. economy, even though expectations are low he will be announcing a 25 basis-point interest rate cut.
US markets rose sharply yesterday, and the NASDAQ Composite (QQQ) rose 1.4%. Semiconductor stocks were among the biggest gainers. NVIDIA (NVDA), Advanced Micro Devices (AMD), Broadcom (AVGO), and Intel (INTC) rose 5.4%, 4.3%, 4.5%, and 2.7%, respectively.
U.S. markets and stock exchange traded funds rallied Tuesday, with the S&P 500 pushing toward record highs, after President Donald Trump said he would meet with Chinese President Xi Jinping at the G20 summit, reigniting hopes of continued trade talks. On Tuesday, the Invesco QQQ Trust (QQQ) was up 1.5%, SPDR Dow Jones Industrial Average ETF (DIA) gained 1.4% and SPDR S&P 500 ETF (SPY) rose 1.0%. “It looks like the markets are getting excited about the potential for some sort of agreement between Trump and China,” Charlie Ripley, a strategist at Allianz Investment Management, told the Wall Street Journal.
European Central Bank President Mario Draghi turned ultra-dovish in a speech in Portugal on Tuesday. Is this a motivation for Federal Reserve Chairman Jerome Powell and his cohorts to cut interest rates as they meet this week? President Trump on Tuesday blasted Draghi because stimulus in Europe means a lower euro versus the dollar, giving an edge to European companies in their exports to the U.S. On the other hand, the U.S. stock market is encouraged by Trump’s tweet of a “very good” phone call with President Xi of China and the news of an extended meeting with him at the G20.
Could there soon be a recession? "Bond king" Jeffrey Gundlach thinks so. He shared his views regarding the Fed, markets, recession, and strategies to hedge against the slowdown during a DoubleLine investor webcast on June 13.