Markets slid generally lower on Thursday. Here’s how the indexes did…
- Dow Jones -0.6%
- Nasdaq -1.4%
- S&P 500 -1.1%
- Russell 2000 -0.7
Beneath the surface, there were some signs of life.
While 65% of all stocks closed lower, 31% logged daily gains.
2 of 11 sectors managed to move higher.
- Healthcare (XLV) +0.6%
- Financials (XLF) +0.3%
At the bottom…
- Technology (XLK) -2.3%
- Utilities (XLU) -2.5%
- Energy (XLE) -2.6%
After the close, FedEx (FDX) reported quarterly earnings. It didn’t go well…
The company missed expectations and pulled its guidance for the current quarter.
- International markets are the top concern…
- It blamed “macroeconomic weakness in Asia and service challenges in Europe” for “volume declines.”
- Shares are down about 20% in premarket trading.
The drop is particularly notable because FedEx is a large, profitable company with a relatively low stock price … Its P/E Ratio was about 14 at the close.
- For reference, Apple’s (AAPL) P/E Ratio is 25, and Tesla’s (TSLA) is 109.
- The shipping giant has lost about $10 billion in market cap in less than 24 hours.
The VIX is still acting funny.
During Tuesday’s bloody decline, it barely budged. It was the first time ever that the VIX stayed below 30 while the S&P 500 dropped more than 4%.
This morning it’s on the rise but facing resistance overhead.
If the VIX can rise above 28 watch for markets to make a sharp move lower.
- RSI levels remain neutral for all four major indexes, but oversold conditions are near.
- The Put-to-Call Ratio is oversold for a 4th day
Today marks a little-known Wall Street Anniversary … The 1920 Wall Street Bombing.
- At noon a horse-drawn carriage loaded with weights exploded as people headed to lunch.
- 38 people were killed.
- The damage is still visible on the outside of 23 & 37 Wall Street today.
Wall St went back to business as usual the next day.
The case remains unsolved.
The market is eying the Fed’s FOMC meeting as the next big newsmaker.
- It begins Tuesday, September 20
- Concludes on the 21st
- The new rate drops at 2 pm
- Fed Chair Powell will take the stage at 2:30.
*BEAT on watch
IMRA support at $2, resistance at $2.40
EPM support at $8
MNTK support at $19
DCPH support at $18
RYTM on watch
CRBU support at $12
RVNC resistance at $29
SGML support at $25
SEEL support at $1.30
^GEO support at $8
ARDX resistance at $1.40
PGEN support at $2.60
PL support at $7
^GERN support at $2.80