Commenting on the rebounding in the job market and today’s trading, Gorilla Trades strategist Ken Berman said:
The major indices are all trading significantly lower at midday, as stocks erased yesterday’s bounce amid the grim COVID-related headlines. The number of infections hit another record high in the past 24 hours and Texas Governor Abott announced that state is rolling back its reopening because of the surge. The large-cap benchmarks hit their lowest levels in almost two weeks on the news, and since several other states, such as Florida could also be forced to follow Texas’s lead, the weekend will be crucial for the nation.
Qualivian Investment Partners performance update for the month ended July 31, 2022. Q2 2022 hedge fund letters, conferences and more Dear Friends of the Fund, Please find our July 2022 performance report below for your review. Qualivian reached its four year track record in December 2021. We are actively weighing investment proposals. Starting in November Read More
Rebounding In The Job Market Led By The Rise In Personal Spending
While personal spending rose by the most on record following last month’s historic plunge, the 8.2% increase was still lower than the consensus estimate, but personal income fell by less-than-expected, confirming the rebounding in the job market. The Michigan consumer sentiment number was revised lower, and even though the Core PCE Price Index beat expectations, analysts fear that the negative shift in spending will be sustained, especially in the wake of the spike in the number of infections. The most lockdown-sensitive issues will likely continue to weigh on the broader market, but for now, the technical damage remains limited on Wall Street.
Dow: 25,190, - 556 or 2.2%
S&P 500: 3,018, - 55 or 1.8%
Nasdaq: 9,854, - 164 or 1.6%
Russell 2000: 1,383, - 30 or 2.1%
Market breadth has been in line with the performance of the major indices, with decliners outnumbering advancing issues by a 10-to-1 ratio on the NYSE. Only 13 stocks hit new 52-week lows on the NYSE and the Nasdaq, while 47 stocks hit new 52-week highs. The major indices have been trading below their daily VWAPs (Volume-Weighted Average Price) for most of the morning session, pointing to intraday selling pressure Banks gave back most of their gains from yesterday in early trading, similarly to energy-related issues, and all of the key cyclical sectors have been under pressure, while the relative strength of the traditional safe-havens suggests that the week will end on a negative note. Stay tuned!