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July 13, 2024 | Tech Talk for Saturday July 13th 2024
The Bottom Line The Summer Rally continues. All-time highs were set by broadly based equity indices including TSX Composite Index, S&P/TSX 60 Index, S&P 500 Index, Equal Weight S&P 500 Index, Dow Jones Industrial Average, Australia All Ordinaries and Nikkei Average! Equity markets are responding to encouraging second quarter results released by major companies and […]
July 6, 2024 | Tech Talk for Saturday July 6th 2024
The Bottom Line The Summer Stock Market Rally from late June until at least the end of July has started. Corporate focuses this week are on second quarter results released on Friday by U.S. money-centered banks (including JP Morgan Chase, Wells Fargo, Citigroup and Bank of New York Mellon): According to www.FactSet.com “Bank earnings season […]
June 29, 2024 | Tech Talk for Saturday June 29th 2024
The Bottom Line The stage is set for the Summer Rally. See comments below Economic News This Week June ISM Manufacturing PMI released at 10:00 AM EDT on Monday is expected to increase to 49.0 from 48.7 in May. May U.S. Construction Spending is released at 10:00 AM EDT on Monday. Federal Reserve Chairman Powell […]
June 22, 2024 | Tech Talk for Saturday June 22nd 2024
The Bottom Line Focus this week is on the May Core PCE Price Index released on Friday. This report is the FOMC’s most important indicator for inflation. A drop below the 2.8% annual rate set in April will signal easing inflation pressures and will set the stage for the traditional “Summer Rally” by U.S. equity […]
June 15, 2024 | Tech Talk for Saturday June 15th 2024
The Bottom Line Investors responded to encouraging U.S. economic news last Wednesday. Core May Consumer Price Index on a year-over-year basis dropped to 3.4%, extending an intermediate downtrend. U.S. equity indices moved higher on the news: the S&P 500 Index and the NASDAQ Composite Index jumped to all-time highs in anticipation of a lower Fed […]
June 8, 2024 | Tech Talk for Saturday June 8th 2024
The Bottom Line Focus this week is on news following the FOMC meeting on Wednesday in response to the stronger than expected U.S. May employment report released last Friday: May Non-farm Payrolls and Average Hourly Earnings came in “hotter” than expected. Under these conditions a reduction in the Fed Fund Rate by the FOMC probably […]
June 1, 2024 | Tech Talk for Saturday June 1st 2024
The Bottom Line North American equity markets responded favourably to the April core PCE Price Index report released on Friday. Consensus was an increase of 0.3% versus a gain of 0.3% in March. Actual was an increase of 0.2%. On a year-over-year basis, the Index gained 2.8%, in line with consensus. This Index is the […]
May 25, 2024 | Tech Talk for Saturday May 25th 2024
The Bottom Line The gain by one stock dominated performances by the S&P 500 Index and NASDAQ Composite Index last week, the 15% price advance by heavily weighted Nvidia following release of its better than expected quarterly results. Other major U.S. equity indices were notably weaker: Dow Jones Industrial Average down 2.33%, Dow Jones Transportation […]
May 18, 2024 | Tech Talk for Saturday May 18th 2024
The Bottom Line The “bulls” regained control of U.S. equity markets last week. S&P 500 Index, Dow Jones Industrial Average and NASDAQ Composite Index broke to all-time highs. Leadership was provided by technology sector: Technology SPDRs (Symbol: XLK) moved above $212.00 to an all-time high. A speculative spike in the “Meme stocks” also contributed to […]
May 11, 2024 | Tech Talk for Saturday May 11th 2024
The Bottom Line All-time highs at the close on Friday for the Europe, Africa and Far East Index (EAFE Index) and its related ETF: EFA! Strength in the Index was bolstered by an all-time high set by Europe iShares (IEV) and by strength in Chinese and South African equity indices. Honorable mention is given to […]
May 4, 2024 | Tech Talk for Saturday May 4th 2024
The Bottom Line The Fabulous Four (Amazon, Microsoft, Alphabet, Meta) dominated technical action by broadly based U.S. equity indices last week. Higher than consensus quarterly results by these dominant companies prompted analysts to increase significantly first quarter earnings and revenues estimates for the S&P 100 Index and the NASDAQ 100 Index. Their strong earnings gains […]
April 27, 2024 | Tech Talk for Saturday April 27th 2024
The Bottom Line Focus this week in on the Federal Reserve’s decision on interest rates announced on Wednesday at 2:00 PM EDT. Consensus calls for no change in the Fed Fund Rate currently at 5.25%-5.50%. The question is “How long will the Fed maintain this rate?” Release of a slightly “hotter than consensus” March core […]
April 20, 2024 | Tech Talk for Saturday April 20th 2024
The Bottom Line Short term technical action by world markets remains focused on the Israel/Iran conflict. Growing uncertainties had a negative impact on equity markets and a positive impact on commodity prices last week. First quarter earnings report season ramps up this week. Responses to results released to date have been mixed. Focuses this week […]
April 13, 2024 | Tech Talk for Saturday April 13th 2024
The Bottom Line U.S. equity markets were “off to a rough start” last week following initial releases of first quarter results by major companies: Notably weaker following release of quarterly results included Blackrock, Fastenal, JP Morgan, Wells Fargo and Citigroup. Weakness was recorded despite corporate reports that exceeded revenue and earnings consensus. Trigger for weakness […]
April 6, 2024 | Tech Talk for Saturday April 6th 2024
The Bottom Line World equity indices moved slightly lower last week. Exceptions were the TSX Composite Index and the Shanghai Composite Index. Industrial commodities and related equities continued to move higher. ‘Tis the season for industrial commodity prices and their related Exchange Traded Funds to move higher until early June!
March 30, 2024 | Tech Talk for Saturday March 30th 2024
The Bottom Line World equity markets were mixed last week, typical when intermediate momentum indicators are overbought: U.S. equity indices moved in a narrow trading range. S&P 500 Index gained 0.39% and the NASDAQ Composite Index slipped 0.30%. ETFs representing European, Canadian and Merging Markets were slightly higher. ETFs representing Far East markets were slightly […]
March 23, 2024 | Tech Talk for Saturday March 23rd 2024
The Bottom Line Responses by North American equity market to FOMC news released last Wednesday were a pleasant surprise. S&P 500 Index and Dow Jones Industrial Average quickly moved to all-time highs. The TSX Composite Index tested its all-time high at 22,213.07 set on April 5th 2022. Responses were triggered by comments by Federal Reserve […]
March 16, 2024 | Tech Talk for Saturday March 16th 2024
The Bottom Line Focus this week is on the Fed Fund Rate update released at 2:00 PM EDT on Wednesday. U.S. equity markets traded in a narrow range last week prior to the news. Consensus is that the FOMC will maintain the rate at 5.25%-5.50%. Comments following the 2:00 PM statement will be examined carefully […]
March 9, 2024 | Tech Talk for Saturday March 9th 2024
The Bottom Line Another mixed week for performance by North American equity markets! Signs of investor uncertainty increased: the VIX Index advanced 12%, Gold bullion ETN (GLD) gained 4.3%, Gold Equity ETF (GDX) advanced 8.4% and Bitcoin jumped 9.9%.
March 2, 2024 | Tech Talk for Saturday March 2nd 2024
The Bottom Line U.S. equity indices were mixed last week: S&P 500 Index and NASDAQ Composite Index recorded small gains while the Dow Jones Industrial Average and Dow Jones Transportation Average recorded small losses.
February 24, 2024 | Tech Talk for Saturday February 24th 2024
The Bottom Line Nvidia was the pleasant surprise last week: Its strength following release of “blow out” quarterly results powered the S&P 500 Index and Dow Jones Industrial Average to all-time highs. Nvidia extended its parabolic upside move following release of results on Wednesday.
February 17, 2024 | Tech Talk for Saturday 17th 2024
The Bottom Line Changes by key world equity indices were significant last week: U.S. equity indices moved lower following release of higher than consensus January CPI and PPI reports. Equity indices and related ETFs for India, Japan, China and Europe rose significantly. China iShares completed a double bottom pattern. EAFE iShares touched an all-time high. […]
February 10, 2024 | Tech Talk for Saturday February 10th 2024
The Bottom Line Headline reads “S&P 500 Index closes at an all-time high”. The “Magnificent Four” (Microsoft, Amazon, Meta and Nvidia), recently narrowed down from the “Magnificent Seven”, continued to move higher. Their extraordinary overweight in the S&P 500 Index and the NASDAQ 100 Index was the main reason why all-time highs were reached on […]
February 3, 2024 | Tech Talk for Saturday February 3rd 2024
The Bottom Line Exceptional price gains on Friday by Meta Platform (Up 20.32%) and Amazon (Up 7.87%) after their release of better-than-consensus quarterly results significantly distorted performance of the S&P 500 Index relative to the Equal Weighted S&P 500 Index and its related ETF: RSP. Since December 28th the S&P 500 Index has gained 3.66%% […]
January 27, 2024 | Tech Talk for Saturday January 27th 2024
The Bottom Line Responses to fourth quarter results released last week by S&P 500 companies were mixed with important exceptions. Notable were responses to reports by key technology companies: Strongest positive responses were recorded by Microsoft, ASML, IBM, Netflix and Lam Research. Strongest negative responses were recorded by Texas Instruments, Tesla, Intel and Visa.