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January 24, 2025
DOW: 44,451.15
S&P: 6,114.59
Nasdaq: 20,039.73
10YR T-Note: 4.63%
Bitcoin: 105,845.83
VIX: 14.67
Gold:2,792.9
Crude Oil:74.45
Prices Current as of 10 :11 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.
Stocks rose to a record S&P high yesterday, as things started a bit lower and then catapulted to those records on a very late upside splurge in the final half-hour, and strange it was.
The Dow was the leader with a 408 point close to 44,565 led by gains in CAT, GS, HD, UNH and V while the S&P vaulted right at the end of the day to add to existing gains to end at 32 ahead to 6118 for the first record close since early December and it was not the large technology stocks that did it, as they mainly remained lower until the last 20 minutes when laggards like NVDA, AMZN and MSFT among others, managed to sneak out very nominal gains in what looked like some sort of buying program at that time. This was the first new S&P high after 57 of them last year and was the seventh advance in the last eight days.
The Nasdaq only advanced by 44 to 20,053 after being lower all day on that last minute buying while the Russell 2000 Index of small stocks gained 10 to 2314. The VIX only came down to 15.02 as it remains at the lower levels because of recent market advances.
Treasury yields took a brief turn upward after the President began talking about tariffs in a speech by video at the World Economic Forum, saying products made outside of the United States will be subject to a tariff, but they pulled back after he gave few details. Crude prices also sank after he called on oil-producing countries to reduce the price of crude, which would ease worries about inflation.
The yield on the 10-year Treasury climbed to 4.64% from 4.61% late Wednesday, though it remains below its high from earlier this month. The two-year Treasury yield eased to 4.29% from 4.30% late Wednesday.
Yields earlier in the day had held relatively steady after a report showed slightly more workers applied for weekly claims at 223,000.
Traders don’t expect the report to push the Federal Reserve to cut its main interest rate at its upcoming meeting next week, according to data from CME Group. If they are correct, it would be the first meeting since September where the Fed hasn’t lowered the federal funds rate to take pressure off the U.S. economy. This sets up an interesting situation because the President has “insisted” that the Fed start lowering rates and it appears that he will not be allowed to do that since Congress created this institution.
GE jumped higher after reporting stronger profit for the latest quarter than analysts expected. The company, which split off from General Electric with two other companies last year, said orders for its airplane engines and services jumped 50% from a year earlier to $12.9 billion.
NFLX continued to gain again as it rose again after its 10% jump the prior day on earnings. UNP also did well as the railroad said that its workforce was more productive during the quarter, and its fuel consumption rate likewise improved.
On the downside, AAL dropped even though it reported stronger profit and revenue for the latest quarter than analysts expected. It said it may report a bigger loss for the first three months of 2025 than assumed and it also gave a forecasted range for profit over the full year whose midpoint fell short of analysts’ expectations.
Video game maker EA fell apart by 17% after it warned of a slowdown in revenue related to its soccer game, EA Sports FC25. It also said fewer gamers played its Dragon Age game during the latest quarter than expected, further cutting into its revenue.
In the cryptocurrency market, where prices have surged on hopes that the President make Washington friendlier to the industry, bitcoin fell below $103,000, according to CoinDesk. It had set a record above $109,000 on Monday. And this late drop came right after the President announced another one of his crypto ideas which unfortunately did not work out yesterday.
This week the earnings for the 4Q pick up a bit with the following: yesterday - DFS, NNX, ALK, UNP, GE higher and AA, AAL, EA lower; today – TXN, CSX lower and Dow component AXP lower and Dow component VZ and TWLO higher.
Economic reports will have: yesterday– weekly jobless claims rose to 223K; today – December existing home sales, first half of U. of Michigan Consumer Sentiment Index.
