To The Moon

33% gain from mid day move when S&P 500 attempts to break the 4400 psychological barrier. The break indicates a bullish trend into the week ahead. Get ready for a green November towards Santa rally in December 🎅 

Major averages notched a second week of gain into November, recovering the ground lost in the previous session, as Treasury yields stabilized.

The S&P 500 climbed 1.56% to finish the session at 4,415.24. The Nasdaq Composite added 2.05% to 13,798.11, notching its best day since May.

Stocks staged a rebound as the benchmark 10-year Treasury yield hovered around the flatline.

It was a marked reversal from Thursday’s action in which the rate on the 10-year jumped more than 10 basis points.

The spike in yields followed a dismal Treasury Department bond auction and comments from Federal Reserve Chair Jerome Powell that suggested more intervention may be needed to quell inflation.

All 11 sectors of the S&P 500 were positive Friday, but tech outperformed, rising 2.6%. Microsoft leapt to all-time highs during the session and ended the day higher by 2.5%. Apple, Meta, Tesla and Netflix jumped more than 2% each, while Alphabet gained 1.8%.

Moody’s Investors Service lowered its ratings outlook on the United States’ government to negative from stable, pointing to rising risks to the nation’s fiscal strength.

The ratings agency has affirmed the long-term issuer and senior unsecured ratings of the U.S. at Aaa. Moody’s move to cut its outlook arrives as Congress faces the looming threat of a government shutdown once more. The government is funded through next Friday.

“Moody’s decision to change the U.S. outlook is yet another consequence of Congressional Republican extremism and dysfunction,” White House press secretary Karine Jean-Pierre said in a statement.

Back in August, Fitch cut the U.S. long-term foreign currency issuer default rating to AA+ from AAA, citing “expected fiscal deterioration over the next three years,” as well as an erosion of governance and a growing debt burden.

Feuding in Washington was also an issue. “The repeated debt-limit political standoffs and last-minute resolutions have eroded confidence in fiscal management,” Fitch said at the time.

Newly elected House Speaker Mike Johnson said he plans to release a Republican government funding plan on Saturday.

Please click Like 👍, Comment 💬 & Repost 🔄 this article found at the bottom of your screen. Follow me for the latest news, trading ideas & strategies to ride the market daily with profits!