Weekly Stock Market Update & SPY Technical Analysis Last week, the markets edged to new all-time highs, but both volume and buying momentum showed signs of slowing as traders and investors await the Federal Reserve's final interest rate decision of the year. The FOMC meeting on Wednesday will determine whether the Fed continues its path of interest rate cuts or holds steady. Earlier this month, further rate cuts seemed like a straightforward decision, but recent economic data has complicated the picture. Reports of rising inflation suggest that this year’s rate cuts may have already begun to push inflation in the wrong direction. At the same time, the U.S. unemployment rate has been creeping upward, adding another layer of complexity. ...
Weekly Stock Market Update & SPY Technical Analysis Inflation takes center stage this week as investors brace for November's Consumer Price Index (CPI) report. After a promising dip to 2.4% in September, inflation has edged higher, rising to 2.6% in October and now projected to hit 2.7% in November. This upward trend comes just days ahead of the Federal Reserve's FOMC meeting, where officials are expected to decide on the next steps for interest rates. The U.S. labor market’s resilience has prompted the Fed to implement aggressive rate cuts recently, but these actions have inadvertently reversed progress on inflation. If inflation continues to rise, the Fed may face a difficult choice between two unappealing outcomes: tolerating runaway inflation or...
Weekly Stock Market Update & SPY Technical Analysis November delivered the best stock market performance of the year, fueled by a post-election surge following Trump's victory. The S&P 500 reached a historic milestone, surpassing 6,000 for the first time, while the Dow and Russell 2000 also hit new records. Notably, capital rotated out of semiconductor stocks and into sectors like financials, construction, and materials. Although the sharp decline in semiconductors caught many off guard, the pullback is a healthy sign for the broader market. Bull markets need diversification, and spreading capital across various sectors enhances market breadth and sustainability. Looking Ahead: December's Market Outlook As markets enter December, investors are anticipating the “Santa Rally,” a period traditionally characterized by...
Weekly Stock Market Update & SPY Technical Analysis Markets reached a new milestone last week, with Dow Jones stocks leading the charge higher. Strong earnings from John Deere boosted farming and construction stocks to record levels, prompting bullish investors to shift capital into sectors that had lagged behind the tech-driven rally. This redistribution of capital is a positive sign for the bull market, as it allows overheated stocks to cool off and consolidate. Nvidia, one of those high-performing names, also reported earnings last week. Despite delivering stellar results, the stock remained flat, likely because the strong performance had already been priced in. With no unexpected surprises, Nvidia’s earnings failed to spark a significant reaction. Now that Nvidia's earnings are behind...
After a sharp and unexpected market downturn, all eyes are on Nvidia’s upcoming earnings report, which could potentially revive the markets and push them back toward all-time highs. With a staggering $3.4 trillion valuation, Nvidia stands as the most valuable company in the world. Its earnings performance is poised to significantly impact market sentiment, particularly as investors ride the wave of enthusiasm around the AI trade—and more recently, the "Trump trade." Adding to the high-stakes week are earnings reports from major retailers like Walmart and Target. The past three monthly retail sales reports have delivered mixed signals, leaving uncertainty about the broader retail landscape. While insights into their past quarter performance are anticipated, the focus will likely shift to...
