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October 17, 2024
DOW: 43,227
S&P: 5,860
Nasdaq: 18,337
10YR T-Note: 4.09%
Bitcoin: 66,911
VIX: 19.31
Gold: $2,705.80
Crude Oil: $70.88
Prices Current as of 10:27 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 another awful day on Tuesday, guess what – the market yesterday did what has become a strong pattern lately, namely starting out slightly lower and then switching to end mostly higher with the Dow setting another record high closing level.
After a decline of 50 to begin, things turned right around to the upside which resulted in this index making another record high close of 43,077 led mainly by financials such as AXP, CAT, GS, HD and UNH.
The S&P also began in an uncertain manner and then appeared to get pulled higher by the Dow to end with a more moderate advance of 27 up to 5842 with financials, MS, UAL on earnings plus NVDA which made a roaring comeback after its ASML dive on Tuesday, in addition to CRWD and TSLA.
The Nasdaq also appeared to get dragged higher by the Dow with a 51 point advance up to 18,367 and also led by NVDA, CRWD and TSLA.
And how about the Russell 2000 Index of small stocks doing nicely for another day with a 36 point gain to 2286 and led by some regional banks while the VIX seems to have settled into a recent narrow range with a 19.58 close despite the persistence of very high bearish calls that people seem to foolishly want at the present time.
MS rallied after reporting stronger profit for the latest quarter than analysts expected. CEO Ted Pick said the investment bank enjoyed a “constructive environment” in its businesses around the world. And with stock prices near records, it is managing even more money for clients.
UAL rose 12% after reporting a narrowed drop in summer profit than expected and announcing plans to send up to $1.5 billion to its shareholders by buying back its stock. JBHT gained 3% after the freight company delivered better-than-expected results.
They helped offset a 2.5% drop for CFG which reported weaker results for the latest quarter than analysts expected.
Energy stocks were holding steadier, including higher gains for XOM and Dow component CVX a day after sliding to some of the market’s worst losses.
They have been generally following the price of oil, which has fallen back as worries recede that Israel will attack Iranian oil facilities as part of its retaliation for Iran’s early this month missile attack. Iran is a major producer of crude, and a strike could upend its exports to China and elsewhere. Concerns about the strength of demand because of China’s flagging economic growth have also hit oil prices.
U.S. technology stocks were also holding up better a day after a market-shaking warning from ASML, a Dutch supplier to the chip industry. Their C.E.O said Tuesday that artificial intelligence continues to offer strong upside potential, but “other market segments are taking longer to recover.” That helped lead to slides of 3.5% for AVGO and 4.7% for NVDA on Tuesday. A day afterward, namely today, both rose, and the latter’s gain of 3.1% was the strongest single force pushing upward on the S&P.
Still, Wednesday offered the first chance for Asian stock markets to feel the ripples of ASML’s warning, and chip companies there tumbled.
Japan’s Nikkei 225 fell 1.8% as chip maker Tokyo Electron sank 9.2% and Lasertec Corp., which makes equipment to inspect chips, lost 13.4%.
Stock indexes were mixed across the rest of Asia and Europe. In London, the FTSE 100 rose 1% after the government reported that U.K. inflation eased in September to its lowest level in more than three years. That reinforced expectations that the Bank of England will cut interest rates at its next policy meeting.
In the bond market, the yield on the 10-year Treasury fell to 4.01% from 4.03% late Tuesday. The two-year yield, which more closely tracks expectations for what the Fed will do, slipped to 3.93% from 3.95%.
This week starts the main part of 3Q earnings results with the following lineup: yesterday - JBHT, MS and UAL higher while IBKR was lower; today – Dow component TRV higher in addition to TWS, BLK while TFC is lower; tonight - ISRG, NFLX; Dow components AXP and PG plus SLB on Friday.
Economic reports will see: yesterday - October N.Y. State Empire Manufacturing Survey fell by 11.9%; today – September retail sales were ahead by 0.4% and ex-autos gained 0.5%’ weekly jobless claims came in at 241,000, October Philly Fed Index gained 10.3, September industrial production; Friday – September housing starts.
These various reports should lead to a better opening to start out today.
