On Thursday, markets gapped up higher following the latest headline inflation data release.
- Prices rose +0.2% month over month
- And +3.2% year over year
A decline in energy costs is keeping inflation in check—for now.
The indexes didn’t hold the initial gains and closed the day mixed…
- Dow Jones +0.2%
- Nasdaq +0.1%
- S&P 500 +0.0%
- Russell 2000 -0.4%
Sector Round Up
Price action across the sectors showed little change. 5 of 11 sectors closed green—None changed more than half a percent.
At the top…
- Communications (XLC) +0.3%
- Consumer Discretionary (XLY) +0.2%
- Financials (XLF) +0.1%
At the bottom…
- Industrials (XLI) -0.3%
- Utilities (XLU) -0.3%
- Real Estate (XLRE) -0.3%
The VIX closed below 16 for a third day in a row. It’s showing no signs of budging this morning…
We’ll say it again … As long as the VIX is below 16, the bears don’t have a path forward.
Your latest readout…
This morning at 8:30, another set of inflation data will be released.
The PPI report will tell us if manufacturers are still seeing stable prices.
*DSP support at $5, resistance at $6
*CLEU on watch
*UIHC support at $7
EYPT support at $12
AAOI support at $12
EH support at $20, resistance at $23
EZGO support at $2.25
TDUP support at $3.50
TDS support at $16
Secondary watchlist—float 100+ million
HLLY support at $7
KTOS support at $16
RKT support at $11
BGC support at $5, resistance at $5.20