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December 31, 2024
DOW: 42,651
S&P: 5,912
Nasdaq: 19,483
10YR T-Note: 4.54%
Bitcoin: 95,496
VIX: 16.94
Gold: 2,637.30
Crude Oil:71.62
Prices Current as of 10 :48 am
Source: CNBC
Don Selkin, the creator and innovator of the "Fair Value" numbers, as its Chief Market Strategist on the Newbridge platform has given CNBC and its Predecessor, these numbers every day for the over 40 years - never missing a single day, as well as given the fair value for the Nasdaq 100 futures since their introduction in 1996 and the Dow Jones stock index futures since 1997. Mr. Selkin has also been quoted in several publications including but not limited to Bloomberg News, New York Post, Reuters, and The New York Times. Mr. Selkin's Fair Value numbers are included in the U.S.
Futures Report broadcast on CNBC every day before the market
opens attributing "Newbridge Securities" as the source. In addition, NSC provides to its professionals, their clients and the public access to Don Selkin's more in depth financial market views.
After starting out the traditionally bullish Santa Claus rally last Tuesday with a nice gain, the market has now fallen for three straight sessions and is in danger of ending this period with a decline as there are now three days to go. And they are today plus the final two days this week on Thursday and Friday.
The Dow had the nerve to decline by as much as 720 points on its morning low, but was able to bounce back somewhat to end with a shabby 418 point loss to 42,573 as 29 of its 30 members ended lower, with only NVDA ending higher but well off of its best intraday levels.
The S&P did even worse with a 101 point collapse that ended “only” 64 points down to 5907 as breadth numbers were the worst in a long time of 90% of its members lower, including everything from the former tech leaders and the strong majority of the others. For those historians out there, this is the first time that the index has declined by more than 1% on two of the final five trading days of a year since 1952, would you believe it?
On the other hand, with one day to go in 2024, the index is still on its way to a second straight yearly gain in excess of 20% for the first time since 1998 – 1999.
The Nasdaq had no hope and ended down 235 to 19,486 while the Russell 2000 Index is undergoing its worst month of a year since September 2022 with an 8% decline.
The VIX naturally continued to move higher up to 17.4 as that strong 13 support level gets further and further left behind.
The S&P technology and communication services sectors have been the market’s highflyers, notching gains of 37% and 40%, with one day to go, and we all know who they are.
BA fell after one of its jets skidded off a runway in South Korea, killing 179 of the 181 people aboard. South Korea is now inspecting all 737-800 aircraft operated by airlines in the country.
The disaster was yet another blow for BA following a machinists strike, further safety problems with its troubled top-selling aircraft and a plunging stock price. Its shares have declined more than 30% this year.
Airlines that fly BA jets wavered in the wake of the crash such as UAL and DAL.
Bond yields fell as the yield on the 10-year Treasury dropped to 4.53% from 4.63% late Friday. The yield on the two-year Treasury came down to 4.25% from 4.33% late Friday.
Natural gas prices jumped 12%. That helped support gains for natural gas producers such as EQT Corp. for the biggest gain among S&P stocks.
Markets are nearing the close of a stellar year driven by a growing economy, solid consumer spending and a strong jobs market. Investors expect companies within the S&P to report broad earnings growth of more than 9% for the year, according to FactSet. The final figures will be tallied following fourth-quarter reports that start in a few weeks.
The Fed cut interest rates three times in 2024, but has signaled a more cautious approach heading into 2025 amid stubborn inflation and worries about it re-heating. The latest report on consumer prices showed that inflation edged slightly higher, to 2.7%, in November.
Worries about the potential for inflation reigniting have been further fueled by tariff threats from the incoming President. Companies typically pass along the higher costs from tariffs on goods and raw materials to consumers.
Economic reports will have: yesterday – December Chicago Purchasing Managers Index fell to 36.9, November pending home sales rose by 2.2%; Thursday – November Construction Spending, weekly jobless claims; Friday – December ISM Purchasing Manager’s Index.
