There wasn’t much in the way of economic or earnings news Monday. Markets were in a vacuum and thus only had geopolitical issues to focus on in early trading.
As a consequence markets opened weak but by midday much of the losses were made back as investors looked positively toward earnings reports further in the week.
Tuesday brings more economic data including the CPI, FHFA House Price Index, Existing Home Sales and Richmond Fed Mfg Index. After the close of trading Apples (AAPL) much anticipated earnings will be released.
Some important restaurant shares Chipotle (CMG) are hurting due to higher food costs while McDonalds (MCD) and YUM Brands (YUM) were stung by revelations they were selling dated meats. That hurt Consumer Discretionary (XLY) where those names are heavyweights.
Meanwhile Russian sanctions have led to a rise in energy prices and a decline in some European markets. Ongoing violence in Gaza and East Ukraine cause gold to rise slightly. Developing stories include the flight from High Yield Bonds (HYG) in favor of higher quality issues is gaining traction while Small Caps fell again.
Leading market sectors higher included: Utilities (XLU), India (EPI), Emerging Markets (VWO), Brazil (EWZ), Latin America (ILF), Indonesia (IDX), Thailand (THD), Solar (TAN), Crude Oil (USO), Base Metals (DBB), Silver (SLV) and Bonds (TLT).
Leading market sectors lower included: Retail (XRT), Consumer Discretionary (XLY), Materials (XLB), Consumer Staples (XLP), Russia (RSX), High Yield Bonds (HYG), Germany (EWG), European Monetary Union (EZU), Sweden (EWD), Austria (EWO), Italy (EWI), France (EWQ), Grains (JJG) and Natural Gas (UNG).
The top 20 market movers by percentage change in volume whether rising or falling is available daily.
Volume declined by nearly half from Friday and breadth per the WSJ was negative.
Again, we’ll have more serious economic data Tuesday not to mention Apple earnings after the close of trading.
Let’s see what happens.
Dave Fry is founder and publisher of ETF Digest and has been covering U.S. and global ETFs since 2001.
He is the author of "Create Your own ETF Hedge Fund: A Do-It-Yourself Strategy for Private Wealth Management" published by Wiley Finance and "The Best ETFs: U.S. Equities, A Companion Guide to Building Your ETF Portfolio".
Disclaimer: The charts and comments are only the author's view of market activity and aren't recommendations to buy or sell only any security. Market sectors and related ETF's are selected based on his opinion as to their importance in providing the viewer a comprehensive summary of market conditions for the featured period. Chart annotation's aren't predictive of any future market action rather they only demonstrate the author's opinion as to a range of possibilities going forward. More detailed information, including actionable alerts, are available to subscribers at www.etfdigest.com
|WTI Crude Futr||104.92||0.33||0.32 %||02:40|
|US Dollar||80.62||0.00||0.00 %||16:59|
|Brazil||2562.040||1.73 %||7.18 %||15.50 %|
|Russia||672.870||-2.91 %||-8.99 %||-14.49 %|
|India||491.555||0.30 %||-0.21 %||20.68 %|
|China||62.444||-0.59 %||1.55 %||-1.04 %|