To The Moon

US stocks continued to drift to a lower close on Thu, 03 Aug 2023 as Wall Street’s red-hot rally cooled further yesterday. When market closed: DJIA: -0.19% (-66.63 to 35,215.89) S&P 500: -0.25% (-11.50 to 4,501.89). Nasdaq: -0.10% (-13.73 to 13,959.72). Some analysts have explained that Treasury yields surged could have siphoned off some of the resources, as Wall Street continued to assess the fallout from ratings agency Fitch's downgrade of US credit. Afterall, the benchmark 10-year yield jumped to a very attractive 4.18% on Thursday. US Composite Index - Technical Analysis. Both S&P 500 and Nasdaq’s index are below their respective 20-day moving average. They are in a short-term downtrend. With an RSI reading in the fifty-range, all indexes are not overbought or oversold. Yeste

The release of Nonfarm Payrolls (NFP) and Consumer Price Index (CPI) data is a highly anticipated event in the financial world. These economic indicators provide crucial insights into the health of the US economy and play a significant role in shaping monetary policy decisions. Let's analyze how the recent NFP and CPI data for July could impact the stock market. We will delve into the implications of the unexpected surge in job growth and the moderating inflation rate, offering context and expert opinions to provide a comprehensive understanding of the potential effects on the market. Brief Summary The July NFP report showcased a remarkable surge in job growth, with the economy adding 528,000 jobs, surpassing economists' expectations of 250,000. The unemployment rate also ticked lower to 3

Euphoric exuberance all around The markets have been in a very buoyant mood lately. And calm despite the macroeconomics. That just makes me more cautious. Despite overbought levels and market worries as well as bearish sentiments, the market keeps driving up. Now, sentiments have turned bullish and many are saying the markets have entered a new bull market. Really? I beg to differ. In fact, the markets have all the hallmarks of a top. 1. Narrow breadth. Only 6 or 7 megacaps lead the market. This must be one of the thinnest 'bull market' ever! 2. The equal weight broad market market index is trending down. The divergence from the normal broad market index cannot be understated. 3. The market have never bottomed so way ahead of the Fed's final rate hike. And they may not be even done yet!