Monica Kingsley
Monicakingsley
Yesterday, S&P 500 initially tumbled on economic data supporting the notion that the economy isn‘t falling apart equals Fed has room to raise by that two more 25bp this year, keep shrinking its balance sheet and remain restrictive. Following though on prior solid breadth, the dip got bought within hours. Slow grind-up is still the name of the game.
That was my call at the onset of the European session, nothing bearish premarket – as the core PCE draws near, this anticipation had been fulfilled. As I don‘t expect a hot inflation figure (this is Fed‘s probably favorite core figure) – rather 0.3% month on month at most – this should work to ultimately let stocks overcome any initial gyration with ES move to the upside, helping real assets and weakening USD,
Let‘s move right into the charts – today‘s full scale article contains 4 of them.
S&P 500 and Nasdaq outlook
4,432 as nearest support should hold, and 4,415 wouldn‘t come near today. My expectation is that the initial dip (if any to speak of) would get bought, and it would be up to XLK, XLC and XLY to kick in and support the usual XLE, XLI, XLB and IWM with a push to 4,455 and likely breaking it on a closing basis.
Gold, Silver and Miners
Miners have moved nicely yesterday, and gold with silver can surprise following today‘s PCE data. Too early to look for a turning point and new sustainable upleg though.
All essays, research and information represent analyses and opinions of Monica Kingsley that are based on available and latest data. Despite careful research and best efforts, it may prove wrong and be subject to change with or without notice. Monica Kingsley does not guarantee the accuracy or thoroughness of the data or information reported. Her content serves educational purposes and should not be relied upon as advice or construed as providing recommendations of any kind. Futures, stocks and options are financial instruments not suitable for every investor. Please be advised that you invest at your own risk. Monica Kingsley is not a Registered Securities Advisor. By reading her writings, you agree that she will not be held responsible or liable for any decisions you make. Investing, trading and speculating in financial markets may involve high risk of loss. Monica Kingsley may have a short or long position in any securities, including those mentioned in her writings, and may make additional purchases and/or sales of those securities without notice.
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