MARKETS TODAY June 5nd, 2023 (Vica Partners)
Last Friday, US Markets finished sharply higher, S&P 500 +1.45%, DOW +2.12% and the Nasdaq +1.07%. All 11 of the S&P 500 sectors higher: Materials +3.37% outperforms/ Communication Services +0.10% lags. On the upside, Russell 2k Treasury Yields, USD Index, Oil and Bitcoin. In economic news, headline Jobs numbers easily beat forecasts, the unemployment rate missed while wages showed deceleration.
Overnight/US Premarket, Asian markets finished higher, Japan’s Nikkei 225 +2.20% Hong Kong’s Hang Seng +0.84% and China’s Shanghai Composite +0.07%. US S&P futures were trading at 0.2% above fair value. European markets finished lower, France’s CAC 40 -0.96%, Germany’s DAX -0.54% and London’s FTSE 100 -0.10%.
Today US Markets finished lower, S&P 500 -0.20%, DOW -0.59% and the Nasdaq -0.09%. 8 of 11 of the S&P 500 sectors lower: Communication Services +0.58% outperforms/ Industrials -0.71% lags. On the upside, FANG+, Gold and Brent Crude In economic news, S&P Global US Composite PMI for May in line with expectations, S&P Global US Services PMI came in light and ISM Services PMI misses.
Takeaways
- Mixed economic news out today, ISM renews recession fears
- FANG+, up 0.63%
- 8 of 11 of the S&P 500 sectors lower: Communication Services +0.58% outperforms/ Industrials -0.71% lags.
- SPDR S&P Banking ETF (KRE) >-2.5%
- Tesla (TSLA) +>10% over past 5 days
- Yields decline on ISM Services
- Brent Oil rises
Pro Tip: will be back tomorrow/ Mega Cap Weekly below
Sectors/ Commodities/ Treasuries
Key Indexes (50d, 100d, 200d)
S&P Sectors
- 8 of 11 of the S&P 500 sectors lower: Communication Services +0.58%, Health Care +0.38% outperform/ Industrials -0.71%, Energy -0.58% lag.
Commodities
Factors (YTD)
US Treasuries
Notable Earnings Today
- +Beat: Science Applications (SAIC), Gitlab (GTLB), Healthequity Inc (HQY), Sprinklr (CXM)
- – Miss: Allego US (ALLG)
- * Strong support – NVIDIA (NVDA), Meta Platforms (META), Microsoft (MSFT), Alphabet (GOOG,GOOGL), Amazon (AMZN), Apple (AAPL), Tesla (TSLA), Taiwan Semi (TSM), ASML Holding NV (ASML), UI Path (PATH)
Economic Data
US
- S&P U.S. services PMI; period May, act 54.9, fc 55.1, prev. 55.1
- Factory orders; period April, act 0.4%, fc 0.6%. prev. 0.6%
- ISM services; period May, act 50.3%, fc 52.3%. prev. 51.9%
News
Company News
- SEC Says Binance Misused Customer Funds, Ran Illegal Crypto Exchange in U.S. – WSJ
- Intel to Raise About $1.5 Billion in Sale of Part of Mobileye – Bloomberg
Energy/ Materials
- Saudi Output Cut to Boost Oil Prices Could Be Costly – WSJ
Central Banks/Inflation/Labor Market
- Big Banks Could Face 20% Boost to Capital Requirements – WSJ
- A $1.5 Trillion Backstop for Homebuyers Props Up Banks Instead – Bloomberg
China
- Charting the Global Economy: Business Activity Slows in China – Bloomberg
