Traders Market Weekly: Markets Await Big Bankers Earnings

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    April 10-16, 2022 FEAR NOT Brave Investors Where have we been and where are we going? Join our weekly market thread on Traders Community… Image: Accep
    [See the full post at: Traders Market Weekly: Markets Await Big Bankers Earnings]


    Equity Markets—

    Japan’s Nikkei: -0.6%
    Hong Kong’s Hang Seng: -3.0%
    China’s Shanghai Composite: -2.6%
    India’s Sensex: -0.8%
    South Korea’s Kospi: -0.3%
    Australia’s ASX All Ordinaries: UNCH


    China’s March CPI 0.0% m/m (expected -0.1%; last 0.6%); 1.5% yr/yr (expected 1.2%; last 0.9%). March PPI 8.3% yr/yr (expected 7.9%; last 8.8%). March new loans CNY3.13 trln (expected CNY2.675 trln; last CNY1.23 trln) and March total social financing CNY4.65 trln (expected CNY3.70 trln; last CNY1.19 trln)
    New Zealand’s March Electronic Card Retail Sales -1.3% m/m (last -7.8%); -0.5% yr/yr (last 1.1%)


    The Reserve Bank of Australia warned that housing prices could fall about 15% over the next two years as the cash rate is increased.

    Australia will hold a federal election on May 21 with Prime Minister Morrison’s party currently trailing in the polls.


    U.K.’s February GDP 0.1% m/m (expected 0.3%; last 0.8%); 9.5% yr/yr, as expected (last 10.5%). February Industrial Production -0.6% m/m (expected 0.3%; last 0.7%); 1.6% yr/yr (expected 2.1%; last 3.0%). February Manufacturing Production -0.4% m/m (expected 0.3%; last 0.9%); 3.6% yr/yr (expected 3.0%; last 5.3%). February Construction Output -0.1% m/m (expected 0.4%; last 1.6%); 6.1% yr/yr (expected 6.8%; last 10.0%). February trade deficit GBP20.59 bln (expected deficit of GBP20.00 bln; last deficit of GBP23.90 bln)


    France’s CAC (+0.4%) shows relative strength. A runoff election between incumbent French President Macron and challenger Marine Le Pen is scheduled for April 24.

    S&P lowered Russia’s rating to Selective Default after the country arranged to make bond payments in rubles.

    Austria’s central bank raised its 2022 CPI forecast to 5.6% from 5.3%, expecting the rate to peak at 7.3% this month.

    The European Central Bank will release its latest policy statement on Thursday.


    STOXX Europe 600: -0.6%
    Germany’s DAX: -0.7%
    U.K.’s FTSE 100: -0.7%
    France’s CAC 40: +0.4%
    Italy’s FTSE MIB: UNCH
    Spain’s IBEX 35: -0.3%


    Market Snapshot
    Dow 34625.70 -95.42 (-0.27%)
    Nasdaq 13531.55 -179.43 (-1.31%)
    SP 500 4447.97 -40.31 (-0.90%)
    10-yr Note -4/32 2.752
    NYSE Adv 1410 Dec 1592 Vol 195.4 mln
    Nasdaq Adv 1845 Dec 2427 Vol 1.3 bln

    Industry Watch
    Strong: Industrials, Financials
    Weak: Information Technology, Energy, Utilities, Consumer Discretionary

    Moving the Market
    — Interest rates continue to push higher

    — Weakness in the growth stocks

    — Technical factors


    The S&P 500 continues to trade lower by 0.8% amid little interest to buy the dip.

    The mega-caps are exerting key weakness on the benchmark index with the Vanguard Mega Cap Growth ETF (MGK 223.49, -4.25, -1.9%) down roughly 2%.

    The mega-caps are feeling the burden of higher interest rates, which factor negatively in valuations. The 10-yr yield is currently up four basis points to 2.75% on top of last week’s 34-basis-point increase.


    Energy stocks have extended losses as oil prices drop 4.3% to $94.05/bbl amid demand concerns attributed to the COVID lockdowns in Shanghai.

    Negative price momentum and increased available supply from strategic reserves are other factors driving oil prices lower.

    The S&P 500 energy sector is currently down 2.6% to lead all sectors in losses.


    Bonds: Longer Tenors Remain Behind

    Rates running the markets again

    U.S. Treasuries continue holding losses with 10s and 30s trading a bit behind shorter tenors. Treasuries marked session lows at the open, followed by a bounce that briefly returned the long bond and the 10-yr note to little changed, but recent action saw a slip toward opening lows. Shorter tenors trade above their opening levels with the 2-yr note currently flat for the day.

    In equities, the Nasdaq (-1.3%) trades behind the S&P 500 (-0.9%) while the Dow (-0.2%) outperforms.

    Yield Check:
    2-yr: UNCH at 2.52%
    3-yr: +1 bp to 2.74%
    5-yr: +3 bps to 2.78%
    10-yr: +4 bps to 2.75%
    30-yr: +4 bps to 2.79%


    This is going to be a shortened week of trading.

    Markets are closed Friday in observance of Good Friday.

    The Consumer Price Index (CPI) report is out on Tuesday and will be followed by the Producer Price Index (PPI) report on Wednesday and the Retail Sales report on Thursday.

    Earnings reports from Albertsons (ACI), CarMax (KMX), Delta Air Lines (DAL), Fastenal (FAST), UnitedHealth (UNH), and a panoply of banks that includes JPMorgan Chase (JPM), Citigroup (C), Goldman Sachs (GS), Morgan Stanley (MS), PNC (PNC), U.S. Bancorp (USB), and Wells Fargo (WFC).


    Nvidia Down Over 5%, Currently Down Five Consecutive Days, On Track for Longest Losing Streak Since January — Data Talk

    NVIDIA Corporation (NVDA) is currently at $219.37, down $11.82 or 5.11%

    –Would be lowest close since March 14, 2022, when it closed at $213.30
    –Currently down eight of the past nine days
    –Currently down five consecutive days; down 19.82% over this period
    –Longest losing streak since Jan. 25, 2022, when it fell for six straight trading days
    –Worst five day stretch since the five days ending March 16, 2020, when it fell 19.98%

    –Down 19.6% month-to-date
    –Down 25.41% year-to-date
    –Down 34.27% from its all-time closing high of $333.76 on Nov. 29, 2021

    –Up 44.24% from 52 weeks ago (April 12, 2021), when it closed at $152.09
    –Down 34.27% from its 52-week closing high of $333.76 on Nov. 29, 2021
    –Up 60.53% from its 52-week closing low of $136.65 on May 13, 2021

    –Traded as low as $217.95; lowest intraday level since March 15, 2022, when it hit $213.22

    Source: Dow Jones Market Data, FactSet


    ^^^^ +1s for excellent posts & market analysis above
    OIL is at $94 … equities are in red (about 1% down) & bond rates surging
    5% is now the lowest rates for 30 year home loans & supply/staffing issues continue
    Wish all a blessed, safe, and great HOLY WEEK ahead 🙂


    not to scare anyone – but lots of sunspot activity in 2022 + more than normal close ASTEROID encounters
    maybe mother EARTH has moved in it’s ever changing orbit to where more leftovers from creation are present
    As one who follows astronomy & science events, 2022 has been an active year.
    Still odds are in our favor as I believe our creator protects us – inspite of our mistakes 🙂

    RECENT activity can be seen here as check often during the week

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