Market Snapshot
briefing.com
| Dow | 35870.95 | -60.10 | (-0.17%) | | Nasdaq | 15993.72 | +72.14 | (0.45%) | | SP 500 | 4704.54 | +15.87 | (0.34%) | | 10-yr Note | -23/32 | 1.603 |
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| | NYSE | Adv 1147 | Dec 2133 | Vol 868.2 mln | | Nasdaq | Adv 1456 | Dec 3091 | Vol 5.3 bln |
Industry Watch
| Strong: Consumer Discretionary, Information Technology |
| | Weak: Energy, Utilities, Financials, Materials, Consumer Staples |
Moving the Market
-- S&P 500 and Nasdaq close at record highs amid mega-cap strength
-- NVIDIA (NVDA) jumps 8% on pleasing earnings news/guidance, while Cisco (CSCO) falls 5.5% on disappointing revenue guidance
-- Strong showing from the retailers following earnings reports
-- Lingering growth concerns
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S&P 500 and Nasdaq close at record highs
18-Nov-21 16:15 ET
Dow -60.10 at 35870.95, Nasdaq +72.14 at 15993.72, S&P +15.87 at 4704.54
[BRIEFING.COM] The S&P 500 (+0.3%) and Nasdaq Composite (+0.5%) closed at record highs on Thursday, largely due to strength in the mega-cap stocks. The Dow Jones Industrial Average (-0.2%) and Russell 2000 (-0.6%), however, closed lower.
The set-up today was looking decent: NVIDIA (NVDA 316.75, +24.14, +8.3%) reported positive earnings results with upbeat Q4 revenue guidance, a bunch of retailers including Macy's (M 37.37, +6.53, +21.2%) and Kohl's (KSS 62.49, +6.01, +10.6%) also provided pleasing earnings news, and weekly jobless claims showed continued improvement.
The broader market, however, didn't really key off the good news. Leadership narrowed to NVIDIA and other mega-caps like Apple (AAPL 157.87, +4.38, +2.9%), Amazon.com (AMZN 3696.06, +147.06, +4.1%), and Alphabet (GOOG 3014.18, +32.94, +1.1%), while the rest of the market struggled with modest losses.
Declining issues outpaced advancing issues by roughly 2:1 margins at the NYSE and Nasdaq. The Invesco S&P 500 Equal Weight ETF (RSP 160.69, -0.59, -0.4%) fell 0.4%. Seven of the 11 S&P 500 sectors closed lower with losses ranging between 0.2% (communication services) and 0.5% (energy).
The information technology (+1.0%) and consumer discretionary (+1.5%) sectors rightfully finished atop the leaderboard with solid gains. The technology sector would have risen more if it weren't for weakness in Cisco (CSCO 53.63, -3.13, -5.5%), which issued disappointing revenue guidance due to ongoing supply issues.
Growth concerns lingered amid the Cisco warning, reported upticks in COVID-19 cases, and rising inflation pressures that could eat into profit margins. Risk sentiment was further restrained by extended weakness in speculative pockets of the market and by a wait-and-see mindset for a Fed Chair nomination and a complete CBO scoring of the Build Back Better Act.
Longer-dated Treasuries settled on a higher note, signaling a defensive bias. The 10-yr yield decreased two basis points to 1.59% while the 2-yr yield was unchanged at 0.50%. The U.S. Dollar Index fell 0.3% to 95.53. WTI crude futures ($78.92, +0.61, +0.8%) rebounded modestly from yesterday's 3% decline.
Reviewing Thursday's economic data:
- Initial jobless claims for the week ending November 13 decreased by 1,000 to 268,000 (Briefing.com consensus 260,000), which was the lowest level since March 14, 2020. Continuing jobless claims for the week ending November 6 decreased by 129,000 to 2.080 million, also the lowest level since March 14, 2020.
- The key takeaway from the report is that the low level of initial claims should help set expectations for another nice pickup in hiring activity since it covers the week in which the survey for the November Employment Situation Report was conducted.
- The Philadelphia Fed Index for November increased to 39.0 (Briefing.com consensus 22.0) from 23.8 in October.
- The Conference Board's Leading Economic Index for October increased 0.9% (Briefing.com consensus 0.8%) following a revised 0.1% increase (+0.2%) in September.
There is no economic data scheduled for Friday.
- S&P 500 +25.3% YTD
- Nasdaq Composite +24.1% YTD
- Russell 2000 +19.7% YTD
- Dow Jones Industrial Average +17.2% YTD
Crude futures rebound modestly
18-Nov-21 15:30 ET
Dow -34.26 at 35896.79, Nasdaq +62.62 at 15984.20, S&P +16.99 at 4705.66
[BRIEFING.COM] The S&P 500 is up 0.4% and will have another shot at closing at a record high. The benchmark index came up short yesterday amid increased selling interest into the close.
One last look at the sectors shows information technology (+1.0%) and consumer discretionary (+1.3%) still leading the advance with gains of at least 1.0%. Conversely, the utilities (-0.6%), consumer staples (-0.4%), and materials (-0.4%) sectors underperform with modest losses.
WTI crude futures settled higher by 0.8%, or $0.61, to $78.92/bbl after falling 3% yesterday. |
