Stay Informed and Stay Ahead: Market Watch, May 31st, 2024.
Late-Week Wall Street Market Digest
Three Key Takeaways
+ DJIA and S&P 500 rose; NASDAQ fell. Sectors: Energy led, Information Technology lagged.
+ PCE index remained stable, while Core PCE decreased slightly with inflation continuing to cool, supporting Q3 rate cuts.
+ NASDAQ shows mixed sentiments with new highs and lows, yet more advances than declines highlight market resilience.
Summary of Market Performance
Indices & Sectors Performance:
- Major indices, DJIA and S&P 500 up, NASDAQ declined.
- 10 of 11 sectors increased, Energy leading and Information Technology lagging. Leading Water Utilities (+3.55%), Health Care Providers & Services (+3.28%), and Gas Utilities (+2.96%).
Chart: Performance of Major Indices and Sectors
Moving Average Analysis:
Economic Highlights:
- April saw modest growth in personal income and spending. PCE index remained stable, while Core PCE decreased slightly. Chicago PMI declined.
NASDAQ Global Market Update:
- A mix of new highs and lows suggests both bullish and bearish sentiments. More advances than declines signal market resilience.
Treasury Markets:
- US Treasury securities showed varied yields and prices: 30-year bond at 4.650%, 10-year note at 4.502%, with yield spreads indicating market shifts.
Market Trends:
- Value saw significant weekly gains, led by small caps. Momentum stocks maintained a strong YTD increase of 18.9%.
Currency & Volatility:
- The US Dollar Index dipped slightly, while CBOE Volatility pulled back to 12.92. The Fear & Greed Index remains neutral.
Commodities & ETFs:
- In commodity markets, Brent Crude rose, while Gold and Silver fell. Overall, the Bloomberg Commodity Index saw a decline.
- ETF’s, Newmont Corp. CDI surged by 11.83%, while leveraged oil, retail, and banking ETNs also experienced significant gains in volume.
Cryptocurrency Update:
- Cryptocurrency market: Bitcoin rose to $67,737, Ethereum to $3,807. Ripple stable at $0.52.
Stocks:
- Ault Disruptive Technologies soared by 31.50%, Brand Engagement Network rose by 2.86%, and Gap Inc. surged by 6.44%.
Notable Earnings Today:
- BRP Inc (DOOO) exceeded earnings expectations in an otherwise inactive day.
Global Markets Summary:
- Japan up while Hong Kong and China declined, with Europe modesty gaining.
In the NEWS:
Central Banking and Monetary Policy:
- The Fed Might Soon Have to Worry About More Than Just Inflation – Wall Street Journal
- Euro-Zone Inflation Up More Than Expected Before ECB Cut – Bloomberg
Business:
- Autodesk Won’t Restate Financial Results Following Accounting Probe – Wall Street Journal
- Gap’s Red Carpet Pivot Is a Hit With Shoppers and Wall Street – Bloomberg
China:
- China’s factory activity shrinks in May amid uneven economic recovery – South China Morning Post
