Market Wrap – Santa Claus Rally Right Into S&P 500 All Time High

Santa rally right to closing high in the S&P 500! In today’s post market wrap live from the Meta trading room traders discuss the patterns through the options and futures markets that have played out perfectly from Monday to today. Listen to our technical and market psychology read on the day. Merry Christmas all from the Traders Community Podcast crew @traderscom @knovawave @Mayhem4Markets @abcdefg64668024 @Mahdavi4 and @MetaJohnny1

Live on YouTube:

Enjoy live commentary from Our Trading Room at YouTube as the day wraps up – feel free to like and share

Market Closes

  • WTI crude futures rose 1.2%, or $0.85, to $73.62/bbl.
  • U.S. Dollar was mostly weaker with commodity currencies led by the New Zealand and Australia dollar higher. 
  • U.S. Dollar Index unchanged $96.04
  • Gold up $7.60 (+0.4%) at $1,810.60/ozt
  • Silver futures settled today’s session up $0.12 (+0.5%) at $22.94/ozt. 
  • Dow industrial average 35950.56 +196.67 or 0.55%
  • S&P index 4725.79 +29.23 or 0.62% a closing record high
  • NASDAQ index 15653.36 +131.48 or 0.85%
  • Russell 2000 index 2,241.58 +19.67 / +0.89%
  • NYSE Adv 2223 Dec 1060 Vol 647.7 mln
  • Nasdaq Adv 3181 Dec 1409 Vol 3.9 bln
  • Apple $171.62 -$7.62 -4.26%
  • German DAX, +0.8%
  • France’s CAC, +1.1%
  • UK’s FTSE 100 +0.4%
  • Spain’s Ibex +0.8%
  • Italy’s FTSE MIB +0.5%

Cboe Daily Market Ratios:

Cboe Daily Market Statistics

S&P 500 sector watch:

  • Nine of the 11 S&P 500 sectors closed higher
  • Consumer discretionary (+1.2%), industrials (+1.2%), and materials (+1.0%) each rising at least 1.0%.
  • The real estate (-0.4%) and utilities (-0.03%) sectors closed slightly lower. 

Markets YTD

  • S&P 500 +25.8% YTD
  • Nasdaq Composite +21.5% YTD
  • Dow Jones Industrial Average +17.5% YTD
  • Russell 2000 +13.5% YTD

Bonds

In the Treasury market softened with yields higher. The 2-yr yield increased three basis points to 0.69%, and the 10-yr yield increased four basis points to 1.49%.

News Highlights

  • Personal income increased 0.4% month-over-month in November (consensus 0.5%) and personal spending increased 0.6% (consensus 0.6%). 
  • The PCE Price Index was up 0.6% month-over-month and the core PCE Price Index, which excludes food and energy, was up 0.5% (consensus 0.4%). On a year-over-year basis, the PCE Price Index was up 5.7%, versus 5.1% in October, and the core PCE Price Index was up 4.7%, versus 4.2% in November.
  • Initial jobless claims for the week ending December 18 were unchanged at 205,000 (consensus 206,000). Continuing claims for the week ending December 11 decreased by 8,000 to 1.859 million
  • New home sales increased 12.4% month-over-month in November to a seasonally adjusted annual rate of 744,000 units (consensus 770,000) from a downwardly revised 662,000 (from 745,000) in October. On a year-over-year basis, new home sales were down 14.0%.
  • The final December reading for the University of Michigan Index of Consumer Sentiment came in at 70.6 (consensus 70.4) versus the preliminary reading of 70.4. The final reading for November was 67.4.

Tencent Cashes Out $16.4 Billion Stake in JD.com – TRADERS COMMUNITY

Chinese social-media and gaming giant Tencent Holdings said Thursday it would reduce its stake in JD.com to a little over 2% from the current 17%.and distribute $16.4 billion in JD stock as a dividend to shareholders. JD.com (JD) shares fell by more than 7% Thursday. Tencent (TCEHY) shares were up 4% on the news, though is down nearly 40% since its January high.

Into The Vortex – EIA Reports Draw of 55 Bcf in Natural Gas Storage – TRADERS COMMUNITY

Heading into Christmas and cold temperatures around us gas withdrawal season is in swing. While in Europe natural gas futures are back to near all-time highs again US natural gas futures are softer reacting to domestic weather models. Last week EIA reported a draw of -55 Bcf of working gas in storage lower than expected. With the global energy crisis LNG exports continue to grow but we balance supply shortages with deliverability.

Surge in Transportation Equipment See US Durable Goods Orders Jump – TRADERS COMMUNITY

US durable goods orders rose 2.5 percent in November, following after a 0.4 percent decrease in October. New orders for transportation equipment surged 6.5%, powered by a 34.1% increase in new orders for nondefense aircraft and parts.

Tomorrow US Data/Earnings Watch

All Day HolidayUnited States – Christmas
 HolidayUnited Kingdom – Christmas – Early close at 12:30
 HolidayAustralia – Christmas – Early close at 14:30

Trust you all had a great day, sleep well and get your trading plan sorted.

Any questions please feel free to ask them below. Trade Smart!