MARKETS TODAY April 28th, 2023 (Vica Partners)
Yesterday, US Markets sharply rose as strong earnings reversed the early Week selloff. The DOW gained +500 points with Nasdaq/Tech leading advancers. All 11 of the S&P 500 sectors finished higher, Communications outperformed/ Energy lagged. Treasury Yields rose across the curve, Bitcoin jumped >4%.
Overnight, Asian markets finished higher, The Nikkei 225 +1.40%, China’s Shanghai Composite +1.14%, Hong Kong’s Hang Seng +0.55%. Pre-market, European markets finished mixed, the DAX +0.49%, FTSE 100 +0.30%, CAC 40 -0.25%. S&P 500 US futures were trading 0.2% below fair-value.
Today, US Markets finished higher with the 3 major Indices all returning a weekly gain. The Nasdaq led Weekly gainers picking up 1.3% over the past 5 days. 10 of 11 of the S&P 500 sectors finished higher on the day, Energy +1.76% outperformed. The Volatility Index dropped to a +17 month low today. Oil rose and SPDR S&P Banking ETF (KRE) +1.74%. Exxon and Chevron delivered solid earnings beats. In economic news, the Fed’s favored Inflation metric Core PCE remained historically high at 4.6% but moderating, as consumer spending was unchanged in March
Takeaways
- Exxon and Chevron delivered solid earnings beats that’s sparks market
- 3 major Indices all returning a weekly gain
- The Volatility Index dropped to close to 18 month low
- Energy +1.76% and Real Estate 1.39% led Sector advancers
- iShares Semiconductor ETF ^SOXX, up 1.80%
- Treasury 10/2 inverted curve moderating
- Inflation cooling, wage gains still continue weigh on the Fed
Pro Tip:
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Sectors/ Commodities/ Treasuries
Key Indexes (50d, 100d, 200d)
S&P Sectors
- 10 of 11 of the S&P 500 sectors finish higher, Energy +1.76% and Real Estate 1.39% led advancers/ Utilities -0.06% lags
Commodities
Mega Caps Growth (YTD)
US Treasuries
Notable Earnings Today
- +Beat: Exxon Mobil (XOM), Chevron (CVX), Sony ADR (SONY), Colgate-Palmolive (CL), Natwest Group (NWG), Mitsubishi Electric ADR (MIELY), Komatsu (KMTUY)
- – Miss: Industrial Commercial Bank of China (IDCBY), Aon (AON), Charter Communications (CHTR), TC Energy (TRP), Newell Brands (NWL)
- * Strong support – Meta Platforms (META) Microsoft (MSFT), Alphabet (GOOG,GOOGL), Visa (V), NVIDIA (NVDA), Owens Corning (OC),Berkshire Hathaway (BRK-B), Citigroup (C), BlackRock (BLK), Morgan Stanley (MS), Union Pacific (UNP), Coca-Cola (KO), PACCAR (PCAR), Centene (CNC), Humana (HUM), Mastercard (MA), Caterpillar (CAT), ConocoPhillips (COP)
Economic Data
US
- Employment cost index; period Q1, act 1.2%, fc 1.0%. prev. 1.0%
- Personal income (nominal); period March, act 0.3%, fc 0.2%. prev. 0.3%
- Personal spending (nominal); period March, act 0.0%, fc 0.0%, prev. 0.1%
- PCE index; period March, act 0.1%. prev. 3%
- Core PCE index; period March, act 3%. fc 0.3%, prev. 0.3%
- PCE (year-over-year); period March, act 2%, prev. 5.1%
- Core PCE (year-over-year); period March, act 4.6%. fc 4.5%, prev. 4.7%
- Chicago Business Barometer; period April, act 48.6, fc 43.5, prev. 43.8
- Consumer sentiment (final); period April, act 63.5, fc 63.5. prev. 63.5
News
Company News/ Other
- S. officials lead urgent rescue talks for First Republic – Reuters
- Amazon’s cloud warning rattles investors – Reuters
- Chevron tops estimates with Q1 profit gain despite slide in oil prices – Reuters
Central Banks/Inflation/Labor Market
- Inflation pressures remain persistent as consumers pull back – AP
- Fed Says It Failed to Act on Problems That Led to Silicon Valley Bank Collapse – WSJ
China
