• Nasdaq has best week in more than 2 months
• Dow is up for the 6th straight day
• S&P and Nasdaq rose the final 3 days of the week and 4 of 5 days.
• S&P had its best week in 2022

The final numbers are showing:

• Dow industrial average rose and 575.77 points or 1.76% to 33212
• S&P index rose 100.38 points or 2.47% to 4158.23
• NASDAQ index rose 390.49 point or 3.33% to 12131.14
• Russell 2000 rose 49.61 points or 2.7% to 1887.85

For the trading week:

• Dow industrial average rose 6.24%
• S&P index rose 6.58%
• NASDAQ index rose 6.84%
• Russell 2000 rose 6.46%

Hey… its a good week. The catalyst was the expectation that  inflation  may have peaked as a result of a slowdown in the housing market and other weaker data. Yields moved lower for 3rd week in a row. The market priced out 3 rate hikes, and are now looking for 2. Fed’s Bostic also said the Fed may look to pause in September and reevaluate.

The major indices US indices are closing higher. The Dow industrial average is on a 4 day winning streak. The NASDAQ and S&P are up 3 of the last 4 trading days. For the week, all the major currencies are higher and looking to snap multiweek losing streaks. The Dow has been down 8 straight weeks. The NASDAQ and the S&P have been down 7 straight weeks.

The final numbers are showing:

• Dow industrial average up 516.91 points or 1.61% at 32637.20
• S&P index is up 79.11 points or 1.99% at 4057.85
• NASDAQ index is up 305.92 points or 2.68% at 11740.66
• Russell 2000 is up 39.07 points or 2.17% at 1838.23

Nvidia which fell over 11% after announcing earnings last night closed higher by $8.76 or 5.16%.

Other big winners today:

• Dollar Tree rose 21.87%
• AliBaba rose 14.68%
• GameStop rose 11.64%
• DoorDash rose 7.52%
• Tesla rose 7.43%
• Block rose 7.0%
• United Airlines rose 6.94%
• American Airlines rose 6.88%

Losers today included:

• Snowflake, -4.63%
• Merck, -1.53%
• Gilead, -0.83%
• Palo Alto networks -0.68%
• Phillip Morris -0.42%
• Verizon -0.39%

The major US stock  indices IndicesStock market indices represents an index that measures a particular stock market or a segment of the stock market. These instruments are important i…Read this Term are all closing higher on the day. Moreover, the indices are also higher on the week with 2 days left to go. When the S&P and NASDAQ index are down for 7 consecutive weeks and the Dow is down for 8 consecutive weeks, closing with a positive week is a big thing.

The final numbers are showing:

• Dow Jones, +191.66 points or 0.6% at 32120.27
• S&P index up 37.25 points or 0.95% at 3978.74
•  NASDAQ  index up 170.3 points or 1.51% at 11434.75
• Russell 2000 rose 34.33 points or 1.95% at 1799.16

After the close Snowflake revenues beat but earnings-per-share were much weaker than expectations:

• Revenues $422.4 million vs. $412.8 million estimate revenues are up 85% year on year
• Earnings-per-share -$0.53 vs. $0.01 estimate

Although the revenues are up strongly and yoy sales gains are impressive at +85%, companies that don’t make any money are having a tough time. Shares of Snowflake are down -11% in after-hours trading.

Nvidia are expected to be released at 4:20 PM ET with earnings expected at $1.29/$0.67 GAAP on revenues of a $8.12 billion

UPDATE Nvidia:

• EPS $1.36 vs $1.29
• Rev 8.29B vs 8.12B estimate
• Guidance for Revenue is $8.10B vs $8.44B est.
• Shares are down -7%

The major US indices are closing mixed with the Dow, closing higher, but the S&P and Nasdaq falling. The Nasdaq snapped sharply lower after SNAP announced that earnings and revenues will be sharply lower than their own expectations released just last month. The shares fell -43.08% on the day.

A look at the closing levels shows:

The major US stock  indices  are ending the day solidly higher with the Dow industrial average up near 2%. The Dow is looking to break and 8 week losing streak which has not occur since 1923. Both the S&P and Dow industrial average have been down for 7 consecutive weeks.

The final numbers are showing:

• Dow industrial average rose 618.60 points or 1.98% at 31880.51
• S&P index is up 72.43 points or 1.86% at 3973.79
• NASDAQ index is up 180.67 points or 1.59% at 11535.28
• Russell 2000 is up 19.49 points or 1.10% at 1792.76

The financials were big winners with J.P. Morgan up $7.20 or 6.14% at $124.54. Citicorp was up $3.03 or 6.09% of $52.78.

After the close Zoom reported better than expected EPS with revenues in line with expectations:

• EPS came in at $1.03 vs $0.87 estimate
• Revenues $1.073B vs $1.073 estimate

Zoom shares are trading at $104.44 after closing at $89.33

• S&P averts closing in bear market territory. The Nasdaq has a moral victory as it erased most of a -3.10% intraday decline.

• The Dow industrial average was down -617.37 points or -1.98%
• S&P index was down -90.29 points or -2.31%
• NASDAQ index was down -352.81 points or -3.10%

At the end of the day:

• Dow industrial average rose 7.45 points or 0.02% at 31260.57
• S&P index rose 0.60 points or 0.02% at 3901.38
• NASDAQ index fell -33.87 points or -0.30% at 11354.63
• Russell 2000 fell -2.95 points or -0.17% at 1773.26

Fed’s Bullard speaking on FOXBusiness was anticipated by markets. Stocks were trading near low levels as he started to speak, with expectations he would be ultra hawkish.

Instead he maintained that he prefers 50 basis point hikes (and not 75 or 100 bps). He sees above trend growth going forward. He sees employment moving lower to perhaps less 3%, and does not see a recession in 2022 or 2023.

He DOES expect rates to rise to 3.5% by the end of the year which implies 50 basis point hikes at each Fed meeting until then. However, that is the cost of doing business to have his upbeat economic viewpoint.

Stocks started to bounce soon after he was done speaking.

The bad news for the indices is:

• The Dow still closed lower for the 8th consecutive week which has not been done since 1923
• The S&P and NASDAQ index also closed lower for the 7th consecutive week.

For the week:

• Dow industrial average fell -2.9%
• S&P fell -3.02%
• NASDAQ index fell -3.28%

The last month of trading has seen:

• Dow industrial average -10.15%
• S&P index -11.18%
• NASDAQ index -13.81%

Today the S&P index broke into bear market territory with the index falling -20.9% from its all-time high. However, the end of day rally has led to a close around -19% from that all-time high. Closing in bear market territory was averted.

The  NASDAQ  index reached a new year – and cycle – low and traded down -31.93% from its all-time high reached in November before rebounding.

The Dow industrial average also reached a new cycle low as it fell to -17.09% from its January all-time high before rebounding into the close.

Next week earnings will be highlighted by:

• Zoom on Monday.
• Toll Brothers and Best Buy on Tuesday.
• Snowflake, Box, and Nvidia on Wednesday.
• Dell, Macy’s, Costco on Thursday.

Deutsche Bank with their latest SP500 forecast, says it’ll fall to 3,650

• this would be a 24% decline, which is an average recession decline

DB citing:

• growth is slowing
• thus earnings-led declines for stocks, valuations are vulnerable

DB says that if the labour market can hold up and growth is not hit too hard then they see a year-end rally to 4,700 / 4,800

Weekly S&P500 candles: