Good morning, everyone. This is Stephen Whiteside from TheUpTrend.com with your Tuesday market update. In the pre-market, stock index futures are slightly above fair value, with mixed commodities as crude oil is down and gold is slightly up. Today marks the start of the Federal Reserve meeting, with a key employment report due at 10:00 a.m. Despite the VIX still on a buy signal and the “magnificent seven” stocks on a sell signal, major indices like the Dow, S&P 500, and NASDAQ saw little change yesterday, largely pausing ahead of the Fed meeting. The Russell 2000 and other small-cap indices made attempts to break out but faced resistance, while banks and regional banks hit new highs but pulled back by the close.
In the Canadian market, the Canadian dollar hit a new low, benefiting exporters but hurting importers, influenced by low commodity prices including crude oil, natural gas, copper, gold, and silver. However, the TSX remains resilient due to strong performance in consumer staples, financials, and income trusts. Various sectors including real estate, telecom, and utilities also showed strength, with several stocks like Royal Bank, CIBC, Sun Life, Fortis, Circle K, Brookfield, and Cineplex hitting new highs. Notably, the Canadian stock market is reaching new highs even without the support of the commodity sector, an unusual but positive development. Have a great day, and you'll hear from me again on Wednesday morning.
Stephen Whiteside
TheUpTrend.com
Tuesday, July 30, 2024
https://theuptrend.com/morning-market-outlook-07302024/