“Empowering Your Financial Success”
Daily Market Insights: September 21st, 2023
Global Markets Summary:
Asian Markets:
- China’s Shanghai Composite: -0.77%
- Hong Kong’s Hang Seng: -1.29%
- Japan’s Nikkei 225: -1.37%
US Futures:
- S&P Futures: opened @4,452.81 (-0.63%)
European Markets:
- London’s FTSE 100: -0.66%
- Germany’s DAX: -1.33%
- France’s CAC 40: -1.59%
US Market Snapshot:
Key Stock Market Indices:
- DJIA ^DJI: 34070.42 (-370.46, -1.08%)
- S&P 500 ^GSPC: 4330.00 (-72.20, -1.64%)
- Nasdaq Composite ^NASX: 13223.98 (-245.14, -1.82%)
- Nasdaq 100 ^NDX: 14694.24 (-275.68, -1.84%)
- NYSE Fang+ ^NYFANG: 7336.44 (-181.63, -2.42%)
- Russell 2000 ^RUT: 1781.83 (-28.28, -1.56%)
Market Insights: Performance, Sectors, and Trends:
- Economic data: Initial Claims beating expectations, Continuing Claims decreasing, and the Philly Fed Index dropping.
- Major indices dropped, including DJIA, S&P 500, Nasdaq, Nasdaq 100, NYSE Fang+, Russell 2000.
- All 11 sectors fell, with Health Care outperforming and Real Estate lagging. Notable industry performance in Health Care Providers & Services, Media, and Air Freight & Logistics.
- Treasury rates fluctuated, with the 30-Year Bond and 10-Year Note rising while the 2-Year Note fell.
- U.S. Dollar Index increased, CBOE Volatility spiked, and the Fear & Greed Index indicated fear.
- Commodity markets saw declines in Gold Futures, Bitcoin USD, Crude Oil Futures WTI, and the Bloomberg Commodity Index.
- Factors showed Mega Cap Growth and IPO underperforming, while High Dividend performed better.
- Top-performing ETFs were ProShares Ultra VIX Short Term Futures ETF ^UVXY and ProShares UltraPro Short QQQ ^SQQQ.
- Worst-performing ETFs were ProShares UltraPro Short QQQ ^SQQQ, KraneShares CSI China ETF ^KWEB, and INVESCO QQQ Trust ^QQQ.
Treasury Yields and Currency:
- In Treasury markets, 30-Year Bond and 10-Year Note rose, but 2-Year Note fell. Yield spreads were mixed.
- The U.S. Dollar Index ^DXY: 105.37 (+0.17, +0.16%)
Market Volatility and Sentiment:
- CBOE Volatility ^VIX: 17.54 (+2.40, +15.85%)
- Fear & Greed Index: 40/27 (TY/LY) – Indicates Fear, 5-Day Average Put/Call Ratio: 0.93 (Bearish)
source: cnn fear-and-greed index
Commodities:
- Gold Futures: 1919.94 (-9.54, -0.49%)
- Bitcoin USD: 26597.30 (-526.60, -1.94%)
- Crude Oil Futures WTI: 89.56 (-0.10, -0.11%)
- Bloomberg Commodity Index: 106.07 (-1.18, -1.10%)
Factors:
- Mega Cap Growth (-1.7%) and IPO (-2.5%) experienced the poorest performance, while High Dividend (-0.8%) had the best showing.
ETF Performance:
Top Performers:
- ProShares Ultra VIX Short Term Futures ETF ^UVXY: +11.91%
- ProShares UltraPro Short QQQ ^SQQQ: +5.79%
Worst Performers:
- ProShares UltraPro Short QQQ ^SQQQ: -5.70%
- KraneShares CSI China ETF ^KWEB: -2.07%
- INVESCO QQQ Trust ^QQQ: -1.83%
US Economic Data
- Initial Claims: 201k (vs. 225k consensus, prior 220k)
- Continuing Claims: 1.662 million (vs. 1.692 million consensus, prior 1.688 million)
- Philly Fed: -13.5 (vs. -1 consensus, prior 12)
- Existing Home Sales: 4.04 million (vs. 4.1 million consensus, prior 4.07 million)
- Leading Indicators: -0.4% (vs. -0.4% consensus, prior -0.3%)
Earnings:
Q1 Insights:
- Q1 ’23: 79% of companies beat analyst estimates.
Q2 Insights:
- Q2 Forecast: Predicted decline of <7.2%> in S&P 500 EPS , Fiscal year 2023 EPS remained flat YoY.
Notable Earnings Today:
- Beat: Darden Restaurants (DRI),
- Miss: FactSet Research (FDS)
Resources:
News
Investment and Growth News
- Cisco to Buy Cybersecurity Company Splunk in $28 Billion Cash Deal – WSJ
- Intel sees massive demand for AI chips designed for China amid LLM boom and US export curbs, report says – SCMP
- Blackstone, Permira Explore Bid for eBay-Backed Adevinta – Bloomberg
Infrastructure and Energy
- The Hidden Threat to US Energy Security – Bloomberg
- Ex-Goldman Bankers Make a Fortune With Controversial Bet on Coal – Bloomberg
Real Estate Market Updates
- Flood-Insurance Program Faces a Backlash—and a Deadline – WSJ
Central Banking and Monetary Policy
- August Home Sales Declined to Slowest Pace Since January – WSJ
- Fed Signals Higher-for-Longer Rates With Hikes Almost Finished – Bloomberg
- Oil Nearing $100 Is Red Flag for Central Banks’ Inflation Fight – Bloomberg
International Market Analysis (China)
