|Day's Range||2,712.16 - 2,746.75|
|52 Week Range||2,532.69 - 2,940.91|
Fed Chair Jerome Powell will review the central bank's strategies, tools, and communication practices as it gets closer to reaching the neutral level of interest rates.
Volatility signals in markets such as high-yield bonds and currencies are picking up—a potential warning that the wild swings in energy prices this week could spread to other assets. Spreads on high-yield corporate bonds on Thursday hit the highest level this year, while bearish trading picked up on an exchange-traded fund that tracks the high-yield market. Meanwhile, volatility in the pound reached on Thursday its highest level since 2016—the year Britons voted to exit from the European Union.
The stock market used to reward companies for beating Wall Street analysts’ expectations of how much they could earn. From two days before the earnings announcement through the second day afterward, their shares have averaged a 5.5% loss. For that matter, the technology giants that have pulled the whole stock market downward—Amazon.com Inc., Google parent Alphabet Inc. and Apple Inc.—also beat earnings expectations only to have their shares fall.
The stock market is most focused on developments in U.S.-Chinese trade relations, and positive developments around the G-20 meeting, where President Trump meets his counterpart, could kick-start a rally while no progress could be a negative. Durable goods, existing home sales and earnings from retailers, such as Best Buy and Target, are on the calendar for the week ahead. Historically, the odds for a positive market the week before Thanksgiving are high with the Dow up in 19 of the past 24 years.
Investing.com - The Dow closed lower for the week, despite a rally Friday that came even as the White House reportedly walked backed President Donald Trump's upbeat comments on trade.
While the S&P 500 rose, the Nasdaq fell, and investors are still struggling to figure out what’s next for the Fed and the trade war.
The U.S. dollar weakened and Treasury yields slid on Friday after a top Federal Reserve official said U.S. interest rates were near a neutral rate, while the S&P 500 ended positive after a seesaw session helped by optimism over U.S.-China trade ties. Uncertainty over Britain's exit from the European Union clouded currency and other markets. While the Fed is widely expected to raise rates in December, the number of hikes next year is a matter of debate.
The Federal Reserve is talking tough. Democrats may restore bank regulation. "I am bearish and don’t think there are many positive catalysts out there," said Michael O’Rourke, JonesTrading’s chief market strategist.
On November 8–15, US equity indexes had the following correlations with US crude oil January futures: the Dow Jones Industrial Average (DIA): -5.2% the S&P 500 (SPY): -9.6% the S&P Mid-Cap 400 (IVOO): -10.3%
Equity markets have reacted swiftly to trade-related headlines in recent days as investors look for any hint that the threat of more tariffs will be removed, and the S&P 500 Index surged Friday after U.S. President Donald Trump appeared to signal a willingness to reach a deal with China at this month’s G-20 summit. Department-store chain Nordstrom Inc. declined on disappointing results, following letdowns from Macy’s Inc. and Dillard’s Inc. Technology stocks wavered as chipmaker Nvidia Inc. had its worst trading day in a decade after issuing a lower-than-expected fourth-quarter outlook.
Wall Street finished in the green reversing its five-day negative trend on Thursday following news that United States and China have ramped up their efforts to resolve lingering trade disputes
Steel Dynamics (STLD) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
On November 8–15, major energy ETFs had the following correlations with US crude oil January futures: the VanEck Vectors Oil Services ETF (OIH): 71.2% the Energy Select Sector SPDR ETF (XLE): 65.5% the Alerian MLP ETF (AMLP): 56.6% the SPDR S&P Oil & Gas Exploration & Production ETF (XOP): 37.8%
Not so fast, warns Barry Bannister, equity strategist at Stifel Nicolaus. With interest rates already too high for the market to handle, a softer Fed stance would ultimately be seen as a lack of confidence in the economy, squelching any equity gains, Bannister says. Or worse, it could complicate things in China, since a more amicable relationship with the U.S. would forestall the country’s ability to further devalue its currency.
Analysts from Morgan Stanley to Haverford Trust see the meeting in Buenos Aires as a logical place for President Donald Trump and his Chinese counterpart to make some progress. Just Friday, the S&P 500 Index erased losses after Trump signaled a deal is possible. “If they come out of that and say we’re in basic agreement and now our team is just working out some small details, this market would be 2000 points higher,” said Hank Smith, the co-chief investment officer at Haverford Trust, referring to the Dow Jones Industrial Average.
The S&P 500 has fallen significantly during the week, reaching as low as 2680 or so, before bouncing. However, we have done a lot of technical damage in this market, and I think it’s only a matter of time before we continue to grind lower. Beyond that, I do see a level where the buyers would take over again.
The stock markets were quiet on Friday, which quite frankly is a good sign as we have seen so much in the way of volatility. It looks like traders weren’t willing to put a lot of money to work ahead of the weekend, which makes sense considering there are so many conflicting headlines.
Stocks were mixed Friday as dovish commentary from the Fed helped to address some fears. Concern over semiconductor demand is the latest tech-sector concern.