Stocks Secure A Third Straight Weekly Gain

More PCE progress, Dish & DirecTV's $9b deal, and Novo Nordisk's potential reversal.

NEWS
Stocks Secure A Third Straight Weekly Gain

Source: Tenor.com

Stocks closed out another week in the green with mixed daily performance. What was up went down, and what was down went up as the energy sector led and technology lagged. All eyes turn to the jobs data next week as investors look to position their portfolios for what could be a volatile Q4 and election season. šŸ‘€

Today's issue covers progress in the Fedā€™s preferred inflation metric, Novo Nordiskā€™s potential downside reversal., and why Dish and DirecTV may end up together after all. šŸ“°

Hereā€™s the S&P 500 heatmap. 8 of 11 sectors closed green, with energy (+2.04%) leading and technology (-0.93%) lagging.

Source: Finviz.com

And here are the closing prices: 

S&P 500

5,738

-0.13%

Nasdaq

18,120

-0.39%

Russell 2000

2,225

+0.67%

Dow Jones

42,313

+0.33%

Most bullish/bearish symbols on Stocktwits at the close: šŸ“ˆ $ZCMD, $TCTM, $IONQ, $CMCT, $ARDX šŸ“‰ $SCHL, $OCFT, $ACHC, $LVS, $CMTL*

*If youā€™re a business and want to access this data via our API, email us.

ECONOMY
Fedā€™s Preferred Inflation Measure Pushes Lower šŸ˜Ž

The personal consumption expenditures price index rose 0.1% MoM in August, with the annual rate falling to 2.2% from Julyā€™s 2.5% rate. Thatā€™s the lowest reading since February 2021

Excluding food and energy, core PCE rose 0.1% MoM and 2.7% YoY, essentially in line with expectations as some analysts say it remains ā€œall quiet on the inflation front.ā€ šŸ¤«

Source: CNBC.com

Personal incomes and spending both rose 0.2% MoM, below their respective estimates of 0.4% and 0.3%. Still, investors care less on inflation and more about the labor market, eying next weekā€™s labor market data to signal whether the Fedā€™s next cut will be 25 or 50 bps. šŸ”®

Meanwhile, Richmond Fed president Tom Barkin urges caution on interest rate cuts because inflation has not been defeated. He shares the more conservative outlook that the Fed should wait for further progress before aggressively easing.

Lastly, consumer confidence improved for the third straight month to its highest reading since April, as their outlook for the economy continued to tick higher while inflation expectations stayed flat.

Time will tell which view on inflation is correct. But for now, the downward progress continues, giving bulls the confidence to continue pressing equity market (and other risk asset) prices higher. šŸ“ˆ

STOCKTWITS ā€œTRENDS WITH FRIENDSā€
Tesla Turns Positive YTD: Whereā€™s It Headed Next? šŸ¤”

Subscribe to keep reading

This content is free, but you must be subscribed to The Daily Rip to continue reading.

I consent to receive newsletters via email. Sign Up Terms of Service.

Already a subscriber?Sign In.Not now

Reply

or to participate.