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How This Week's Market Movements Impact Your Portfolio (Cheat Sheet)
| From | Irving Wilkinson <[email protected]> |
| Subject | How This Week's Market Movements Impact Your Portfolio (Cheat Sheet) |
| Date | March 4, 2024 1:38 PM |
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Good morning,
The stock market traded with cautious-looking price action in the first half of the week, but **buying activity** picked up in the second half. This left the **Nasdaq Composite** at a fresh all-time high by Friday’s close.
The **S&P 500** and **Dow Jones Industrial Average** had already reached new record highs earlier this year. The fact that the _[Nasdaq was approaching its record close coming into the week]([link removed])_ contributed to a growing feeling among some investors that stocks were due for a pullback. This drove the early lackluster trading as participants waited on **market-moving events**.
Have a great week!
Irving Wilkinson, Editor
[AlphaBetaStock.com]([link removed])
———————————————————————————
Share AlphaBetaStock.com Market Cheat Sheet
You currently have <strong>0</strong> referrals.
Or copy and paste this link to others: [link removed]
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**Table of Contents (Opens On Main Site)**
* **[Week in Review]([link removed])**
* **[Key Events Support Stocks]([link removed])**
* **[Earnings Roundup]([link removed])**
* **[Bonds and Interest Rates]([link removed])**
* **[Latest Economic Data]([link removed])**
* **[Key Takeaways for Investors:]([link removed])**
* **[Commodities]([link removed])**
* **[Oil & Energy]([link removed])**
* **[Gold & Precious Metals]([link removed])**
* **[Cryptocurrencies]([link removed])**
* **[Calendar & Movers]([link removed])**
* **[Economic Reports]([link removed])**
* **[Earnings Season Winds Down]([link removed])**
* **[Cryptocurrencies Back in Focus]([link removed])**
* **[Notable Earnings Reports By Day]([link removed])**
* **[Monday, March 4th]([link removed])**
* **[Tuesday, March 5th]([link removed])**
* **[Wednesday, March 6th]([link removed])**
* **[Thursday, March 7th]([link removed])**
* **[Friday, March 8th]([link removed])**
----------
## **LAST WEEK’S MARKET OVERVIEW**
----------View image: ([link removed])
Caption:
## **Week In Review**
**INDEX**
**STARTED WEEK**
**ENDED WEEK**
**CHANGE**
**% CHANGE**
**YTD %**
**DJIA**
**39131.53**
**39087.38**
**-44.15**
**-0.1**
**3.7**
**Nasdaq**
**15996.82**
**16274.94**
**278.12**
**1.7**
**8.4**
**S&P 500**
**5088.80**
**5137.08**
**48.28**
**0.9**
**7.7**
### **Key Events Support Stocks**
There were no major surprises in Thursday’s personal income and spending data, including the **Fed’s preferred inflation gauge** – the core personal consumption expenditures (PCE) price index. **Disinflation** continued, with core PCE rising 2.8% year-over-year, down from 2.9%. This reinforced expectations for Fed rate cuts later this year.
The Nasdaq’s gains were largely driven by **mega-cap** and semiconductor stocks, but many other names participated too. **Small-caps** outperformed, with the Russell 2000 gaining 3.0% on the week. The only S&P sector in the red was health care.
**Treasury yields** declined, providing further support. The **10-year yield** settled at 4.18%, down from 4.26% last Friday. This move followed underwhelming demand at Treasury auctions earlier in the week.
### **Earnings Roundup**
The quarterly earnings season continued, with strong reports from some influential names like **Salesforce** (CRM). Shares of the software firm jumped 8.2% after its earnings release.
However, the healthcare sector was weighed down by UnitedHealth Group (UNH) on news that the U.S. Department of Justice has opened an antitrust investigation into the company.
View image: ([link removed])
Caption:
### **Bonds And Interest Rates**
Treasury yields declined this week, acting as added support for the stock market. The 2-yr note yield sank 19 basis points to 4.53% and the 10-yr note yield settled eight basis points lower at 4.18%. This price action followed a disappointing $63 billion 2-yr note auction the $64 billion 5-yr note sale, and a solid $42 billion 7-yr note offering
### **Latest Economic Data**
There were some concerning signals on the economic front. The **ISM Manufacturing Index** dropped to 47.8 in February, showing faster contraction in factory activity. New orders and production slowed.
However, **inflationary pressures** appeared to ease, with the prices paid index declining from 51.6 to 50.8. The employment component also fell but remained in expansion territory at 50.6.
Meanwhile, _pending home sales_ unexpectedly plunged 4.9% month-over-month in January as higher mortgage rates continue to constrain housing affordability.
Overall, stocks shook off the mixed bag of data to close out a strong February. But with the major averages back near highs and Treasury yields declining, we could see some consolidation or a pullback in March as investors reassess portfolio exposures.
### **Key Takeaways For Investors:**
* Stocks showed resilience despite high valuations and mixed economic data
* Fed rate cut hopes were reinforced as core inflation moderates
* Mega-caps and semiconductors led the rally, but small caps and cyclicals participated too
* Treasury yields declined on the week, providing a supportive backdrop
* With major indexes at record highs again, a near-term pullback seems likely
The path forward promises to remain volatile. **Investors** should stay nimble, focusing on solid fundamentals and long-term perspectives. This is not the time for complacency, but opportunities exist for those taking a prudent approach.
----------
## **Commodities**
----------### **Oil & Energy**
View image: ([link removed])
Caption:
The oil market continues to face both upside and downside risks, keeping prices rangebound between $79 and $83 per barrel. **On the upside, tensions remain high in the Middle East.** Crossing the Red Sea faces threats from Yemen’s Houthi rebels, while civilian casualties in Gaza complicate ceasefire talks. **On the downside, oil inventories in the U.S. rose by around 4 million barrels last week.**
Overall, **crude **_prices gained about 2% this week. Brent crude trades_ around **$83/barrel** while WTI sits at **$79/barrel**. The market remains torn between prospects for rate cuts boosting demand and uncertainties around demand, especially from China.
----------
### **Gold & Precious Metals**
----------View image: ([link removed])
Caption:
**Industrial metal prices were volatile this **_week as the latest economic data_ from China painted a mixed picture of metal demand. **The official manufacturing PMI remained in contraction at 49.1**, indicating shrinking activity. However, the Caixin PMI showed continued expansion at 50.9.
**Copper trades around $8,400/tonne** on the London Metal Exchange. **Gold rebounded to $2,055/oz** as bond yields eased, reducing the opportunity cost of holding non-yielding bullion.
----------
### **Cryptocurrencies**
----------View image: ([link removed])
Caption:
**Bitcoin had a blistering February with gains of 43%**, its best month since December 2020. This week saw **record inflows into Bitcoin Spot ETFs of $673 million** on Wednesday alone, sending **Bitcoin prices nearing the $62,000 mark. **This **renewed wave of optimism** also **lifted other major cryptocurrencies**:
* **Ethereum +10%**
* **Cardano +15%**
* **Solana +30%**
* **Dogecoin +41%**
**Speculation has clearly returned to the crypto market**, with Bitcoin tapping into new _investor interest through spot ETFs_. If inflows continue, Bitcoin could challenge its all-time highs soon. **But as always with crypto, high volatility remains a constant threat.**
----------
## **CALENDAR & MOVERS**
----------## **Calendar & Movers**
### **Economic Reports**
The headline economic event this week will undoubtedly be the U.S. jobs report for February, set for release on **Friday, March 8th**. Economists forecast that **employment likely increased by 190,000** jobs during the month, while the **unemployment rate is expected to hold steady at 3.7%**.
Importantly, the **month-over-month increase in average hourly earnings is anticipated to slow to +0.2%** from the stronger +0.6% pace reported in January.
The jobs data will arrive just **12 days before the next Federal Reserve Open Market Committee meeting on March 20th**. The Fed will be closely watching the wage growth and jobs numbers as it evaluates potential future rate hikes.
* Tuesday, March 5: Factory Orders (MoM) (January)
* Friday March 8: Unemployment Rate (February)
### **Earnings Season Winds Down**
The earnings season is winding down dramatically, although there are still some big names on tap, especially in the tech and consumer sectors.
Key tech earnings reports expected include:
* **Marvell Technology (MRVL)** on Thursday, March 7th
* **Broadcom (AVGO)** on Thursday, March 7th
* **Nvidia (NVDA)** presenting at the Morgan Stanley Tech Conference
* **AMD (AMD)** presenting at the Morgan Stanley Tech Conference
On the consumer side, heavyweights **Target (TGT)** and **Costco (COST)** will report earnings on Tuesday, March 5th and Thursday, March 7th respectively.
Additionally, the Morgan Stanley Technology, Media and Telecom Conference could spur some stock movements. Confirmed participants feature big tech names like **Nvidia (NVDA)**, **AMD (AMD)**, and **Netflix (NFLX)**.
### **Cryptocurrencies Back In Focus**
The cryptocurrency market could see renewed interest and activity again next week as buzz continues to build over the **Bitcoin halving event** expected to occur in April.
The halving event essentially cuts the reward for mining new bitcoin in half, and occurs approximately every four years. Some crypto enthusiasts believe the reduced bitcoin supply could boost prices over the longer term.
### **Notable Earnings Reports By Day**
Here is a rundown of the major earnings reports to watch day-by-day next week:
#### **Monday, March 4th**
* **Sea Limited (SE)**
* **GitLab (GTLB)**
* **Stitch Fix (SFIX)**
#### **Tuesday, March 5th**
* **Target (TGT)**
* **NIO (NIO)**
* **Ross Stores (ROST)**
* **Nordstrom (JWN)**
* **CrowdStrike (CRWD)**
* **Box (BOX)**
#### **Wednesday, March 6th**
* **JD.com (JD)**
* **Brown-Forman (BF.A)**
* **Campbell Soup (CPB)**
* **Foot Locker (FL)**
* **Abercrombie & Fitch (ANF)**
* **Victoria’s Secret (VSCO)**
#### **Thursday, March 7th**
* **Kroger (KR)**
* **Bilibili (BILI)**
* **Costco (COST)**
* **Broadcom (AVGO)**
* **Gap (GPS)**
* **Marvell Technology (MRVL)**
* **DocuSign (DOCU)**
#### **Friday, March 8th**
* **Genesco (GCO)**
* **America’s Car-Mart (CRMT)**
There are certainly some market-moving events on tap this week between the jobs data, a major Fed meeting looming, big tech earnings, and the possibility of renewed crypto volatility. It should make for an interesting week for investors and traders to navigate.
----------
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# **Are you ready to take your investing game to the next level?**
We empower investors like you with a daily newsletter which includes the insights needed to stay informed and make profitable decisions in the stock market.
Join Millions Who Trust [The Early Bird]([link removed])
* Discover daily recommendations
* Unlock hidden opportunities
* Make informed investment decisions
By receiving our #1 stock tip delivered straight to your inbox every day at 6:59 am—completely FREE.
Seize the Opportunity:
Join the ranks of millions of investors who trust The Early Bird. **[Sign up now to receive today's #1 Trade of the Day and unlock a world of exclusive benefits.]([link removed])**
Your success in the market is just one click away!
———
You are reading a plain text version of this post. For the best experience, copy and paste this link in your browser to view the post online:
[link removed]
Follow image link: ([link removed])
Caption:
Good morning,
The stock market traded with cautious-looking price action in the first half of the week, but **buying activity** picked up in the second half. This left the **Nasdaq Composite** at a fresh all-time high by Friday’s close.
The **S&P 500** and **Dow Jones Industrial Average** had already reached new record highs earlier this year. The fact that the _[Nasdaq was approaching its record close coming into the week]([link removed])_ contributed to a growing feeling among some investors that stocks were due for a pullback. This drove the early lackluster trading as participants waited on **market-moving events**.
Have a great week!
Irving Wilkinson, Editor
[AlphaBetaStock.com]([link removed])
———————————————————————————
Share AlphaBetaStock.com Market Cheat Sheet
You currently have <strong>0</strong> referrals.
Or copy and paste this link to others: [link removed]
———————————————————————————
**Table of Contents (Opens On Main Site)**
* **[Week in Review]([link removed])**
* **[Key Events Support Stocks]([link removed])**
* **[Earnings Roundup]([link removed])**
* **[Bonds and Interest Rates]([link removed])**
* **[Latest Economic Data]([link removed])**
* **[Key Takeaways for Investors:]([link removed])**
* **[Commodities]([link removed])**
* **[Oil & Energy]([link removed])**
* **[Gold & Precious Metals]([link removed])**
* **[Cryptocurrencies]([link removed])**
* **[Calendar & Movers]([link removed])**
* **[Economic Reports]([link removed])**
* **[Earnings Season Winds Down]([link removed])**
* **[Cryptocurrencies Back in Focus]([link removed])**
* **[Notable Earnings Reports By Day]([link removed])**
* **[Monday, March 4th]([link removed])**
* **[Tuesday, March 5th]([link removed])**
* **[Wednesday, March 6th]([link removed])**
* **[Thursday, March 7th]([link removed])**
* **[Friday, March 8th]([link removed])**
----------
## **LAST WEEK’S MARKET OVERVIEW**
----------View image: ([link removed])
Caption:
## **Week In Review**
**INDEX**
**STARTED WEEK**
**ENDED WEEK**
**CHANGE**
**% CHANGE**
**YTD %**
**DJIA**
**39131.53**
**39087.38**
**-44.15**
**-0.1**
**3.7**
**Nasdaq**
**15996.82**
**16274.94**
**278.12**
**1.7**
**8.4**
**S&P 500**
**5088.80**
**5137.08**
**48.28**
**0.9**
**7.7**
### **Key Events Support Stocks**
There were no major surprises in Thursday’s personal income and spending data, including the **Fed’s preferred inflation gauge** – the core personal consumption expenditures (PCE) price index. **Disinflation** continued, with core PCE rising 2.8% year-over-year, down from 2.9%. This reinforced expectations for Fed rate cuts later this year.
The Nasdaq’s gains were largely driven by **mega-cap** and semiconductor stocks, but many other names participated too. **Small-caps** outperformed, with the Russell 2000 gaining 3.0% on the week. The only S&P sector in the red was health care.
**Treasury yields** declined, providing further support. The **10-year yield** settled at 4.18%, down from 4.26% last Friday. This move followed underwhelming demand at Treasury auctions earlier in the week.
### **Earnings Roundup**
The quarterly earnings season continued, with strong reports from some influential names like **Salesforce** (CRM). Shares of the software firm jumped 8.2% after its earnings release.
However, the healthcare sector was weighed down by UnitedHealth Group (UNH) on news that the U.S. Department of Justice has opened an antitrust investigation into the company.
View image: ([link removed])
Caption:
### **Bonds And Interest Rates**
Treasury yields declined this week, acting as added support for the stock market. The 2-yr note yield sank 19 basis points to 4.53% and the 10-yr note yield settled eight basis points lower at 4.18%. This price action followed a disappointing $63 billion 2-yr note auction the $64 billion 5-yr note sale, and a solid $42 billion 7-yr note offering
### **Latest Economic Data**
There were some concerning signals on the economic front. The **ISM Manufacturing Index** dropped to 47.8 in February, showing faster contraction in factory activity. New orders and production slowed.
However, **inflationary pressures** appeared to ease, with the prices paid index declining from 51.6 to 50.8. The employment component also fell but remained in expansion territory at 50.6.
Meanwhile, _pending home sales_ unexpectedly plunged 4.9% month-over-month in January as higher mortgage rates continue to constrain housing affordability.
Overall, stocks shook off the mixed bag of data to close out a strong February. But with the major averages back near highs and Treasury yields declining, we could see some consolidation or a pullback in March as investors reassess portfolio exposures.
### **Key Takeaways For Investors:**
* Stocks showed resilience despite high valuations and mixed economic data
* Fed rate cut hopes were reinforced as core inflation moderates
* Mega-caps and semiconductors led the rally, but small caps and cyclicals participated too
* Treasury yields declined on the week, providing a supportive backdrop
* With major indexes at record highs again, a near-term pullback seems likely
The path forward promises to remain volatile. **Investors** should stay nimble, focusing on solid fundamentals and long-term perspectives. This is not the time for complacency, but opportunities exist for those taking a prudent approach.
----------
## **Commodities**
----------### **Oil & Energy**
View image: ([link removed])
Caption:
The oil market continues to face both upside and downside risks, keeping prices rangebound between $79 and $83 per barrel. **On the upside, tensions remain high in the Middle East.** Crossing the Red Sea faces threats from Yemen’s Houthi rebels, while civilian casualties in Gaza complicate ceasefire talks. **On the downside, oil inventories in the U.S. rose by around 4 million barrels last week.**
Overall, **crude **_prices gained about 2% this week. Brent crude trades_ around **$83/barrel** while WTI sits at **$79/barrel**. The market remains torn between prospects for rate cuts boosting demand and uncertainties around demand, especially from China.
----------
### **Gold & Precious Metals**
----------View image: ([link removed])
Caption:
**Industrial metal prices were volatile this **_week as the latest economic data_ from China painted a mixed picture of metal demand. **The official manufacturing PMI remained in contraction at 49.1**, indicating shrinking activity. However, the Caixin PMI showed continued expansion at 50.9.
**Copper trades around $8,400/tonne** on the London Metal Exchange. **Gold rebounded to $2,055/oz** as bond yields eased, reducing the opportunity cost of holding non-yielding bullion.
----------
### **Cryptocurrencies**
----------View image: ([link removed])
Caption:
**Bitcoin had a blistering February with gains of 43%**, its best month since December 2020. This week saw **record inflows into Bitcoin Spot ETFs of $673 million** on Wednesday alone, sending **Bitcoin prices nearing the $62,000 mark. **This **renewed wave of optimism** also **lifted other major cryptocurrencies**:
* **Ethereum +10%**
* **Cardano +15%**
* **Solana +30%**
* **Dogecoin +41%**
**Speculation has clearly returned to the crypto market**, with Bitcoin tapping into new _investor interest through spot ETFs_. If inflows continue, Bitcoin could challenge its all-time highs soon. **But as always with crypto, high volatility remains a constant threat.**
----------
## **CALENDAR & MOVERS**
----------## **Calendar & Movers**
### **Economic Reports**
The headline economic event this week will undoubtedly be the U.S. jobs report for February, set for release on **Friday, March 8th**. Economists forecast that **employment likely increased by 190,000** jobs during the month, while the **unemployment rate is expected to hold steady at 3.7%**.
Importantly, the **month-over-month increase in average hourly earnings is anticipated to slow to +0.2%** from the stronger +0.6% pace reported in January.
The jobs data will arrive just **12 days before the next Federal Reserve Open Market Committee meeting on March 20th**. The Fed will be closely watching the wage growth and jobs numbers as it evaluates potential future rate hikes.
* Tuesday, March 5: Factory Orders (MoM) (January)
* Friday March 8: Unemployment Rate (February)
### **Earnings Season Winds Down**
The earnings season is winding down dramatically, although there are still some big names on tap, especially in the tech and consumer sectors.
Key tech earnings reports expected include:
* **Marvell Technology (MRVL)** on Thursday, March 7th
* **Broadcom (AVGO)** on Thursday, March 7th
* **Nvidia (NVDA)** presenting at the Morgan Stanley Tech Conference
* **AMD (AMD)** presenting at the Morgan Stanley Tech Conference
On the consumer side, heavyweights **Target (TGT)** and **Costco (COST)** will report earnings on Tuesday, March 5th and Thursday, March 7th respectively.
Additionally, the Morgan Stanley Technology, Media and Telecom Conference could spur some stock movements. Confirmed participants feature big tech names like **Nvidia (NVDA)**, **AMD (AMD)**, and **Netflix (NFLX)**.
### **Cryptocurrencies Back In Focus**
The cryptocurrency market could see renewed interest and activity again next week as buzz continues to build over the **Bitcoin halving event** expected to occur in April.
The halving event essentially cuts the reward for mining new bitcoin in half, and occurs approximately every four years. Some crypto enthusiasts believe the reduced bitcoin supply could boost prices over the longer term.
### **Notable Earnings Reports By Day**
Here is a rundown of the major earnings reports to watch day-by-day next week:
#### **Monday, March 4th**
* **Sea Limited (SE)**
* **GitLab (GTLB)**
* **Stitch Fix (SFIX)**
#### **Tuesday, March 5th**
* **Target (TGT)**
* **NIO (NIO)**
* **Ross Stores (ROST)**
* **Nordstrom (JWN)**
* **CrowdStrike (CRWD)**
* **Box (BOX)**
#### **Wednesday, March 6th**
* **JD.com (JD)**
* **Brown-Forman (BF.A)**
* **Campbell Soup (CPB)**
* **Foot Locker (FL)**
* **Abercrombie & Fitch (ANF)**
* **Victoria’s Secret (VSCO)**
#### **Thursday, March 7th**
* **Kroger (KR)**
* **Bilibili (BILI)**
* **Costco (COST)**
* **Broadcom (AVGO)**
* **Gap (GPS)**
* **Marvell Technology (MRVL)**
* **DocuSign (DOCU)**
#### **Friday, March 8th**
* **Genesco (GCO)**
* **America’s Car-Mart (CRMT)**
There are certainly some market-moving events on tap this week between the jobs data, a major Fed meeting looming, big tech earnings, and the possibility of renewed crypto volatility. It should make for an interesting week for investors and traders to navigate.
----------
Advertisement
----------View image: ([link removed])
Follow image link: ([link removed])
Caption:
# **Are you ready to take your investing game to the next level?**
We empower investors like you with a daily newsletter which includes the insights needed to stay informed and make profitable decisions in the stock market.
Join Millions Who Trust [The Early Bird]([link removed])
* Discover daily recommendations
* Unlock hidden opportunities
* Make informed investment decisions
By receiving our #1 stock tip delivered straight to your inbox every day at 6:59 am—completely FREE.
Seize the Opportunity:
Join the ranks of millions of investors who trust The Early Bird. **[Sign up now to receive today's #1 Trade of the Day and unlock a world of exclusive benefits.]([link removed])**
Your success in the market is just one click away!
———
You are reading a plain text version of this post. For the best experience, copy and paste this link in your browser to view the post online:
[link removed]
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