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This morning when NVDA was down about 3%, all three indices were up nearly 1%. So, what caused Nasdaq and SPY to close negative to unchanged? Any specific news or just a change in general mood that caused the change during the day?
Technology, Staples, and Real Estate sectors are down for the day.
In reality, the prognosticators just guess as to what causes daily stock market performance. No one knows absolutely for sure... Barron's provided the following plausible explanation - I'm paraphrasing here.
Good economic news seemed to drive the market early. There were upward revisions for second-quarter GDP while the PCE index slowed from 2.6% to 2.5%. Weekly jobless claims were also lower. Later on in the trading session some investors sold tech shares after the Nasdaq's rise. https://www.barrons.com/livecoverage/stock-market-today-082924
I don’t think it could have gotten more lopsided than this year. But, then again, I’m always surprised at the irrationality of crowds and the power of herds to move things.
@Observant1, the PCE index release is TOMORROW, 8:30 AM Eastern time with est +2.6%, core +2.7%. Barron's was just commenting on general trends, including the PCE index up to the LAST month. I thought I had missed something, so I double-checked.
”I wonder where the hell they find these financial "journalists". I guess the same place they find the so-called "analysts" who simply follow each other around staying close to consensus "thinking". Maybe they recruit in middle schools!
(Comment by “Mr. Skin” / Bill Fleckenstein’s Daily Market Rap - 8/29/24 / subscription required)
My own thought is to apply a different twist to Marie-Antoinette’s famous “Let them eat cake”. In good times the media and their porn-star analysts deliver to the adoring masses that possessing the outer appearance of cake. Later there may occur a nasty case of indigestion.
One can choose of not following the crowd. Market fell this week even with good earning from Nivida.
Thought I saw market.broadening, but it was a mirage. Wonder if the market will reacts poorly if the Fed plays it safe and cut 25 bps instead of 50 bps.
Comments
Technology, Staples, and Real Estate sectors are down for the day.
No one knows absolutely for sure...
Barron's provided the following plausible explanation - I'm paraphrasing here.
Good economic news seemed to drive the market early.
There were upward revisions for second-quarter GDP while the PCE index slowed from 2.6% to 2.5%.
Weekly jobless claims were also lower.
Later on in the trading session some investors sold tech shares after the Nasdaq's rise.
https://www.barrons.com/livecoverage/stock-market-today-082924
Yes.
Barron's was just commenting on general trends, including the PCE index up to the LAST month. I thought I had missed something, so I double-checked.
(Comment by “Mr. Skin” / Bill Fleckenstein’s Daily Market Rap - 8/29/24 / subscription required)
My own thought is to apply a different twist to Marie-Antoinette’s famous “Let them eat cake”. In good times the media and their porn-star analysts deliver to the adoring masses that possessing the outer appearance of cake. Later there may occur a nasty case of indigestion.
Thought I saw market.broadening, but it was a mirage. Wonder if the market will reacts poorly if the Fed plays it safe and cut 25 bps instead of 50 bps.
CME has 30.5% probability of 25 bps cut.
https://cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html