Market Trader Report V2#28

MyntBit's Market Trader Report brings potential setups for futures & stocks with a time horizon from days to weeks depending on price action. The following research is based on Fundamentals, Technical & Options Analysis.

What is included in this week's edition?

• WEEKLY REVIEW: An overview of current market standing, fundamental matters with implications upon the market, and general sentiment regarding the major US indices.

• LOOKING AHEAD: Key takeaways to consider as we look forward to the upcoming trading week.

• FUTURES MARKETS: ES, NQ, RTY - A technical review of the major indices, futures, and commodities that represent the overall health of the market.

• SPDR SECTORS & ETFs: SPY, QQQ, IWM - An in-depth review of the SPDR sectors with keynotes on market strength, opportunities, and relative rotation.

Market Trader by MyntBit

Weekly Review

During this holiday-shortened week, the stock market experienced widespread losses influenced by various factors. Notably, Apple (AAPL) saw a 6.0% decline due to reports of Chinese officials being banned from using Apple devices, leading to a sell-off in semiconductor stocks as well. Concerns extended beyond Apple, with worries that China's actions may impact other U.S. companies doing business there.

Rising oil prices, driven by Saudi Arabia and Russia's decision to extend oil production cuts, raised concerns about inflation and consumer spending, contributing to the stock market sell-off. WTI crude oil futures increased by 2.2% to $87.47/bbl.

Treasury yields also climbed in response to economic data. The 2-yr note yield rose by nine basis points to 4.97%, while the 10-yr note yield increased by nine basis points to 4.26%. The ISM Services PMI indicated an acceleration in services sector activity, but with a faster price increase, potentially prompting the Federal Reserve to consider keeping rates higher for longer.

In economic news, initial jobless claims for the week ending September 2 hit a low not seen since February at 216,000, while Q2 productivity was revised lower to 3.5% and unit labor costs were revised higher to 2.2%. Among S&P 500 sectors, only energy and utilities logged gains, while industrials, information technology, and materials sectors declined by more than 2.0%.

Weekly Performance Heatmap

Overall Stock Market Heatmap & Sector Performance

One Week Performance

Looking Ahead to the Upcoming Week

The upcoming week's key events include the release of August inflation reports, with the Consumer Price Index (CPI) and Producer Price Index (PPI) scheduled for Wednesday and Thursday. Additionally, attention will be on retail sales updates, preliminary September consumer sentiment and inflation expectations from the University of Michigan, and various economic reports such as industrial production, import and export price data, and the monthly budget statement. The Fed is entering a media blackout period before its next policy meeting. In the auction space, the U.S. Treasury will issue $99 billion in three- and 10-year notes and 30-year bonds. China will release data on industrial production, investment, and retail sales for August. Japan will provide PPI figures and machine tool order data for the same month. South Korea's import and export data and the August unemployment rate will be reported. Australia's highlights include consumer and business confidence data and August employment figures. Finally, Thursday will feature the European Central Bank (ECB) policy meeting, with the possibility of a 10th consecutive rate hike. Germany's sentiment survey for September and industrial production data for July from the eurozone and the U.K. will also be released.

Earnings Calendar & Economical Events

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