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November 11, 2024
DOW: 44,441
S&P: 6007
Nasdaq: 19,260
10YR T-Note: 4.30%
Bitcoin: 82,534
VIX: 15,44
Gold: $2630
Crude Oil: $68,61
Prices Current as of 9:58 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.
The market ended the best week in a year last Friday as the upside momentum created after the election continued for another day.
The Dow ended with a 270 point advance to a new record high of 43,988 despite declines in CAT, MSFT and NVDA which was counted in this index for the first time ever.
The S&P gained 22 also to a new record close at 5995 and actually traded as high as 6012 at 2:40pm before fading back a little as the session moved along.
The Nasdaq did lag a bit with “only” a 17 point advance to 19.286 as some technology issues like NVDA, MSFT, AMD, AMZN, GOOG, META all slipped back a bit.
The Russell 2000 Index of small stocks gained again by 17 to 2400 on continued strength in smaller bank shares and the VIX slipped again to 14.94 on the strong upside pressure in the major equity indices this past week.
The relatively quiet trading followed huge gains earlier in the week after the presidential election and the Federal Reserve cut in interest rates again to make things easier for the economy.
AXON, which sells Tasers and body cameras used by police officers, helped lead the market. It jumped 29% after delivering stronger profit for the latest quarter than analysts expected. It also raised its revenue forecast for the full year to $2.07 billion, which would mean 32% growth.
EXPE rose after likewise topping profit expectations. It said booked room nights rose 9% from a year earlier.
Helping to keep the market in check was ANBN which sank 9% after the online vacation rental platform posted a mixed third-quarter earnings report and issued forecasts for the fourth quarter that disappointed investors.
Digital pinboard and shopping site PINS slid 14% after the company’s revenue guidance came in lower than investors expected, even as it easily beat sales and profit targets.
In the bond market, longer-term Treasury yields eased.
A preliminary report in the morning suggested that November sentiment among U.S. consumers rose for a fourth straight month to its highest level in six months to 73. The survey from the University of Michigan, which was conducted before Tuesday’s election, also said expectations for inflation in the coming year eased to the lowest level since 2020.
The yield on the 10-year Treasury slipped to 4.30% from 4.33% late Thursday. But it is still well above where it was in mid-September, when it was close to 3.60%.
Treasury yields climbed in large part because the U.S. economy has remained much more resilient than feared. The hope is that it can continue to stay solid as the Federal Reserve continues to cut interest rates in order to keep the job market doing well, now that it has helped get inflation nearly down to its 2% target.
Some of the rise in yields has also been because of the new President. He talks up tariffs and other policies that economists say could drive inflation and the U.S. governments debt higher, along with the economy’s growth.
Traders have already begun paring forecasts for how many cuts to rates the Fed will deliver next year because of that. While lower rates can boost the economy, they can also give inflation more fuel.
In stock markets abroad, Trump’s talk about tariffs has raised worries about possible trade tensions and disruptions to the global economy.
European indexes mostly sank to close out a losing week.
Markets in Hong Kong and Shanghai fell as investors awaited much-anticipated steps by Beijing to increase the slowing Chinese economy, following a meeting of the legislature’s Standing Committee. Officials announced a 6 trillion yuan ($839 billion), three-year plan to help local governments refinance their many trillions of debt that has ballooned during the COVID-19 pandemic and a collapse of the property market.
Financial markets worldwide have swung sharply as investors lay bets on what the new plans for higher tariffs, lower tax rates and lighter regulation could mean for the global economy. But many professional investors have also urged caution, saying snaps back in prices could occur as it becomes more clear what proposals will become policy versus just starting points for negotiations.
Third-quarter earnings season is starting to wind down and the lineup for this week includes: today – SAVE; Tuesday – Dow component HD and TSN; Wednesday – Dow component CSCO and BZH, JJSF; Thursday – Dow component DIS and AAP, AMAT, BABA.
Economic reports will see: Wednesday – October C.P.I.; Thursday – October P.P.I. plus weekly jobless claims; Friday – October retail sales and October industrial production and capacity utilization.
