MARKETS TODAY Jan 9 (Vica Partners)
DOW (^DJI) 33,518 (-112), S&P 500 (^GSPC) 3,892 (-3), Nasdaq (^IXIC) 10,636 (+66), Russell 2000 (^RUT) 1,796 (+3), NYSE FANG+ (^NYFANG) 4,514 (+112), Brent Crude $79.75/barrel (+$1.18), Gold $1,872/oz (+$2), Bitcoin 17.2k (+$48)
Session Overview
The Dow Jones Industrial Average fell 0.34% today, to close at 33,517.65. The NYSE FANG+ Index, which provides exposure to the FANGs as well as Microsoft (Nasdaq: MSFT), Apple (Nasdaq: AAPL), Baidu (Nasdaq: BIDU), Nvidia (Nasdaq: NVDA), Alibaba (NYSE: BABA) and Tesla (Nasdaq: TSLA) jumped by 2.56% today.
The best performing sectors were the Information Technology and Materials sectors, up 1.28% and 0.76% respectively. The Health Care and Consumer Staples sectors were the largest decliners, down 1.30% and 0.39% respectively.
In economic news median one-year-ahead inflation expectations declined 0.2% to 5% percent, its lowest reading since July 2021. Consumer credit, US consumers increased their borrowing by $28 billion in November but which was below the $29.12 billion in October.
And Raphael Bostic, president of the Atlanta Fed, told the Atlanta Rotary Club. He said the Fed was committed to tackling high inflation and this warrants raising interest rates into a 5% to 5.25% range.
Technicals/ Sector Performance/ Yields+
The S&P 500 was trading in a tight range since December (3,700 – 3,900) today closing down at 3892 and looking for a possible breakout.
9 of 11 of S&P 500 Sectors were higher today;
The best performing sectors were the Information Technology and Materials sectors, up 1.28% and 0.76% respectively. The Health Care and Consumer Staples sectors were the largest decliners, down 1.30% and 0.39% respectively.
Yields all declining: US – 2yr to 4.208%, 5yr to 3.667%, 10yr to 3.527%, 30yr to 3.651%
Greed Index Rating 48/ Neutral
U.S Economic News
- NY Fed 1 and 5-year inflation expectations; Median one-year-ahead inflation expectations declined to 5.0 percent, its lowest reading since July 2021. Medium-term expectations remained at 3.0 percent, while the mean perceived probability of losing one’s job in the next twelve months rose to 12.6 percent, the highest reading since November 2021. The five-year-ahead measure increased to 2.4 percent.
- Consumer credit; US consumers increased their borrowing by $28 billion in November which was below the $29.12 billion in October. Economists were expecting a $25 billion monthly increase.
- Atlanta Fed’s Bostic; Two Federal Reserve officials said Monday that the central bank will likely need to raise interest rates above 5% before pausing and holding for some time. “We are just going to have to hold our resolve,” Raphael Bostic, president of the Atlanta Fed, told the Atlanta Rotary Club. He said the Fed was committed to tackling high inflation and this warrants raising interest rates into a 5% to 5.25% range.
Tomorrow the economic calendar is light
Other Asset Classes:
- CBOE Volatility Index (^VIX): +0.84 to 21.97
- USD index: -$0.69 to $103.19
- Oil prices – Brent: +1.50% to $79.75, WTI: +1.49% to $74.87, Nat Gas: +5.12% to $3.90
- Gold: +0.11% to $1,871.62, Silver: -1.49% to $23.65, Copper: +2.53% to $4.01
- Bitcoin: +0.28% to $17.2k
In world news
- North America leaders to discuss economy, drug gangs and migration at summit reuters
- Chinese rush to renew passports as COVID border curbs lifted reuters
- Jack Ma to give up control of fintech giant Ant Group bbc
Vica Momentum Stock Report
Rio Tinto (RIO) $RIO. (Momentum Grade B) (Value A+) (Growth A) 50 Day Average +30.29%, 100 Day Average 21.60%, 200 Day Average -4.79%
Rio Tinto PLC is an international mining company. The Company has interests in mining for aluminum, borax, coal, copper, gold, iron ore, lead, silver, tin, uranium, zinc, titanium, dioxide feedstock, diamonds, talc and zircon.
Market Outlook
Market Outlook and updates posted at vicapartners.com
