News:
Headline inflation clocked in at 4.9% year-over-year, according to the latest Bureau of Labor Statistics data.
The trend continues to point lower…
Stocks took the news in stride … The lower inflation is, the better chance The Fed is done with interest rate hikes.
The indexes opened higher, dipping intraday, and closing generally higher…
- Dow Jones -0.1%
- Nasdaq +1.0%
- S&P 500 +0.5%
- Russell 2000 +0.6%
Sector Round Up
The sectors split—almost down the middle.
At the close, 7 of 11 were in the green.
At the top…
- Technology (XLK) +1.2%
- Real Estate (XLRE) +0.9%
- Utilities (XLU) +0.9%
At the bottom…
- Indutraisl (XLI) -0.4%
- Financials (XLF) -0.6%
- Energy (XLE) -1.1%
Technicals:
The VIX plummeted after touching 18. Tuesday’s close was the lowest we’ve seen in 7 days.
The bulls have it.
Nothing more to add.
- RSI levels are neutral
- The Put-to-Call Ratio is neutral
Timing:
Today at 8:30 AM, we’ll get yet another report loaded with inflation data. This time it’s the Products Price Index (PPI).
Expect light fireworks unless the number comes as a true surprise.
History Repeats
On this day in 1931, the Austrian bank Creditanstalt defaulted and set off a panic in the banking world.
The failed bank held 27% of the nation’s assets.
It was one of the first dominos to fall, leading to the great depression.
Watchlist:
*Low Float
^Open Position
*NERV support at $6
*TCRX support at $4
CLSK resistance at $5
PLX support at $2.75
ASRT support at $7
IDYA support at $20
COCO support at $24
NNOX support at $16
HOOK support at $1.80
AQST support at $2.40
BLRX support at $1.40
TNYA support at $6, resistance at $7
^TDUP support at $3
^CBAY support at $10
JELD support at $14
Secondary watchlist—float 100+ million
HLIT support at $16
RDFN support at $10
TIO support at $2.50
MDGX resistance at $6
XERS support at $2.40
VSH support at $24
RIOT support at $12
IMGN resistance at $14