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July 16, 2024
DOW: 40,815.22
S&P: 5,656.43
Nasdaq: 18,477.58
10YR T-Note: 4.19%
Bitcoin: 64,379.29
VIX: 12.99
Gold: $2,461
Crude Oil: $81.03
Prices Current as of 11:24 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.
For the third consecutive day in a row, the markets ended higher and traded in intraday record levels before selling off in the last hour or so to end with gains but just short of record closing prices.
The Dow did set a record close of its own with a 210 point gain to 40,211 led by AAPL at a record high, plus AXP, CAT, GS after earnings and UNH ahead of its report today.
The S&P once again hit a new high around mid-day with a gain of 52 points but ended off of those best levels with a closing advance of 16 to 5631. It was led in this endeavor by AAPL, the financials and NFLX which reports on Thursday.
The Nasdaq ended 74 points higher to 18,472 led by AAPL, NFLX and TSLA once again but it had been up by 243 and followed that now familiar pattern of closing positive but well off of its best intraday levels.
And the new hero, namely the Russell 2000 Index of small stocks, closed near its high of the session with a 38 point gain to 2187. It is at its best level since late 2022.
Some of the market’s best performing areas were ones that do best when former President Donald Trump’s chances for election look better. DJT, the company behind Trump’s Truth Social platform, leaped 31.4%. Bitcoin rose back above $63,000 after Trump, who has painted himself as a person who is in favor of crypto, also did well.
Longer-term Treasurys also pushed higher than shorter-term ones, and the 10-year Treasury yield climbed to 4.22% from 4.19% late Friday. Something similar happened after last month’s debate between Trump and President Joe Biden, when traders made moves in anticipation of a Republican sweep in November that could ultimately mean policies that would increase the U.S. government’s debt load.
Stocks of big financial companies, which could benefit from a lighter regulatory touch from a Republican administration, also helped lead the market. JPM was one of the strongest forces pushing the S&P higher.
Investment bank GS rose after reporting stronger profit and revenue for the latest quarter than expected. BLK, the asset manager behind the iShares exchange-traded funds, slipped 0.6% after topping forecasts for profit but coming up a bit shy for revenue.
Expectations are high coming into this earnings reporting season, which unofficially got underway last week. Analysts are forecasting companies in the S&P will deliver overall growth of 9.3% from a year earlier, according to FactSet. That would be the strongest growth in more than two years.
Such forecasts have been one of the forces pushing U.S. stocks toward records. So have encouraging reports on inflation, which have shown enough of a slowdown for investors to expect the Federal Reserve to begin cutting its main interest rate in September.
The Fed has been keeping its main interest rate at the highest level in more than two decades, but officials, though, have said they want to see “more good data” on inflation before making a move.
In remarks before the Economic Club of Washington, Federal Reserve Chair Jerome Powell said again on Monday he won’t send any signals about when the Fed may cut interest rates. But he also said Fed officials understand the risks of waiting both too long and not long enough. Too-late cuts could push the U.S. economy into a recession, while too-aggressive cuts could allow inflation to reaccelerate.
M tumbled by 12% after it ended talks for a potential buyout by two investment firms that had lasted months. The retailer said the firms’ latest offer wasn’t high enough to be compelling and also may not have been fully financed.
In stock markets abroad, Chinese indexes were mixed after China reported its economy expanded at a slower-than-expected pace in the latest quarter and as its ruling Communist Party opened a once-a-decade policy-setting meeting. Hong Kong’s Hang Seng fell 1.5%, while stocks in Shanghai added 0.1%.
The bulk of the second-quarter earnings season starts this week and the lineup is too long so we will list them two days at a time and today we have – BLK lower and GS higher; today – BAC, UNH, MS higher and SCHW lower; tonight – JBHT; Wednesday – Dow component JNJ plus UAL.
Economic reports will see: today – June retail sales were unchanged and up 0.4% higher excluding gasoline sales, June import prices were unchanged and export prices were lower by 0.5%; Wednesday – June housing starts, June industrial production and capacity utilization; Thursday – weekly jobless claims, June L.E.I., July Philadelphia Fed Economic Outlook.
