Tech Leads In A Narrow Market
Tech stocks did the heavy lifting as rising yields and the first factory-output drop of the year keep the rest of the market on its heels
Tech stocks did the heavy lifting as rising yields and the first factory-output drop of the year keep the rest of the market on its heels
Stocks and bonds rallied together Thursday after having fallen in unison the day before following a hawkish Fed decision, helped by oil prices easing back for a second day.
The S&P 500 falls for the 7th time in 8 sessions straining against key downside levels as a more hawkish than expected Fed does little to soften expectations for higher volatility in stock and bond markets.
A toxic mix of a potential slowing in AI spending, rising oil prices, and increased Fed rate hike bets see markets fall, but they end well off the lows.
Equities enter the week with a thinning margin for error and confronted by a growing list of risks but not without opportunities.
US equities see broad gains led by megacaps despite markets locking in a September rate hike with at least two more priced over the next year.
Another leg higher in oil, on top of a firm inflation backdrop, lifted Treasury yields to multi-year highs, hardening Fed rate-hike bets into next week’s meeting, and driving a fourth straight day of equity losses.
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