Wednesday Market Blahs
0
April 23, 2014

4-23-2014 6-21-59 PM blahs

Markets couldn’t get anything going during market trading hours as volume was ultra-light.

Positive data and comments were plentiful from Germany, England and the Eurozone as economic conditions improved.

But manufacturing data from China continued to remain below 50 which caused a drop in China and Emerging Market sectors Wednesday. U.S. data was also soft as PMI Mfg Index Flash missed estimates and weakened slightly (55.4 vs 56.3 expected & prior 55.5) and new Home Sales plunged sharply (384K vs 455K expected & prior 449K). With the housing data you could still fault poor weather but this would be the last report with this as an issue. Also poor housing data is buttressed by weak mortgage demand which fell 3.3%.

Earnings overall were mixed featuring a good report from Boeing (BA), a weaker reading from Procter & Gamble (PG) and an ugly report from AT&T (T). After the close of trading Apple (AAPL) and Facebook (FB) will report earnings which should definitely move markets one way or another. Breaking: Apple beat overall earnings and revenues, raised dividend and stock buyback; and declares 7 for 1 stock split. Facebook beat estimates 25 cents vs 24 cents expected while revenues also beat substantially $2.5 billion vs $2.36 billion expected.

Leading market sectors higher Wednesday included: Gold Miners (GDX), Junior Gold Miners (GDXJ), Oil Holders (OIH), Energy (XLE), Industrials (XLI), Metals & Mining (XME), DJ U.S. Aerospace (ITA) Agriculture (DBA) and Bonds (LTT).

Leading market sectors lower Wednesday included: Tech (XLK), Small Caps (IWM), Homebuilders (ITB), Biotech (IBB), Alternative Energy (PBW), Solar (TAN), REITs (IYR), Healthcare (XLV), Consumer Discretionary (XLY), China (FXI), South Korea (EWY), Mexico (EWW), Turkey (TUR), Eastern Europe (GUR), Italy (EWI), Indonesia (IDX), Taiwan (EWT), Semiconductors (SMH), India (INP), Base Metals (DBB),

Chart of the Day: iShares US Homebuilders ETF (ITB) clearly wasn’t helped by the poor New Home Sales report showing a 14% decline. From a technical view, the next level of support is around $22 extending back to late December 2013.

image001

The top 20 market movers by percentage change in volume whether rising or falling is available daily.

Wow, volume on the day basically disappeared as more earnings news needed. Breadth per the WSJ was negative.

4-23-2014 6-26-04 PM diary

 

Charts of the Day
  • SPY 5 MINUTE

    SPY 5 MINUTE

  • SPX WEEKLY

    SPX WEEKLY

  • INDU WEEKLY

    INDU WEEKLY

  • RUT WEEKLY

    RUT WEEKLY

  • NDX WEEKLY

    NDX WEEKLY

  • ITA WEEKLY

    ITA WEEKLY

  • XLI WEEKLY

    XLI WEEKLY

  • XLB WEEKLY

    XLB WEEKLY

  • XME WEEKLY

    XME WEEKLY

  • XLY WEEKLY

    XLY WEEKLY

  • OIH WEEKLY

    OIH WEEKLY

  • PBW WEEKLY

    PBW WEEKLY

  • TAN WEEKLY

    TAN WEEKLY

  • TTFS WEEKLY

    TTFS WEEKLY

  • CVY WEEKLY

    CVY WEEKLY

  • TLT WEEKLY

    TLT WEEKLY

  • UUP WEEKLY

    UUP WEEKLY

  • FXE WEEKLY

    FXE WEEKLY

  • FXC WEEKLY

    FXC WEEKLY

  • GLD WEEKLY

    GLD WEEKLY

  • GDX WEEKLY

    GDX WEEKLY

  • SLV WEEKLY

    SLV WEEKLY

  • USO WEEKLY

    USO WEEKLY

  • DBA WEEKLY

    DBA WEEKLY

  • EFA WEEKLY

    EFA WEEKLY

  • IEV WEEKLY

    IEV WEEKLY

  • EEM WEEKLY

    EEM WEEKLY

  • EWT WEEKLY

    EWT WEEKLY

  • EWY WEEKLY

    EWY WEEKLY

  • EWW WEEKLY

    EWW WEEKLY

  • IDX WEEKLY

    IDX WEEKLY

  • ILF WEEKLY

    ILF WEEKLY

  • EPI WEEKLY

    EPI WEEKLY

  • FXI WEEILY

    FXI WEEILY

  • NYMO

    NYMO

    The NYMO is a market breadth indicator that is based on the difference between the number of advancing and declining issues on the NYSE. When readings are +60/-60 markets are extended short-term.

  • NYSI

    NYSI

     


    The McClellan Summation Index is a long-term version of the McClellan Oscillator. It is a market breadth indicator, and interpretation is similar to that of the McClellan Oscillator, except that it is more suited to major trends. I believe readings of +1000/-1000 reveal markets as much extended.


     

  • VIX

    VIX

    The VIX is a widely used measure of market risk and is often referred to as the "investor fear gauge". Our own interpretation is highlighted in the chart above. The VIX measures the level of put option activity over a 30-day period. Greater buying of put options (protection) causes the index to rise.

 
 
Closing Summary

Markets were very tentative Wednesday given the weak overall volume.

Perhaps it would be logical to assume investors were just sitting back awaiting big earnings news from Apple (AAPL) and Facebook (FB). The former’s report didn’t please investors despite the beat, increase in dividend, stock buybacks and split. But sales of iPhones were disappointing it seems. Facebook (FB) on the other hand pleased given the pace of new signups yet many wonder what constitutes those or if they’re just “bot” driven.

More earnings reports on hand for Thursday and economic data including Jobless Claims and Durable Goods Orders.

Let’s see what happens.

If you’d like to see more of our detailed charts with actionable alerts, sign up to become a premium member of the ETF Digest. 

Subscribe now.

Follow us on twitter and become a fan of ETF Digest on facebook.



Archives
Disclaimer

ETF Digest™
 

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

 

ETF Digest

Market Summary
NYSE Composite Index S&P 500 Index Nasdaq Composite Index Russell 2000 Small Cap Index NYSE Composite Index S&P 500 Index Nasdaq Composite Index Russell 2000 Small Cap Index 10 Year Treasury Note Yield Gold Bugs Index Morgan Stanley High Tech 35 Index Market Chart
Commodity Quote Change Change % NY
Gold1,284.40-0.30-0.02 %04:05
WTI Crude Futr101.670.230.23 % 03:28
Index Quotes Change Change % Local
CRB311.370.160.05 % 17:28
US Dollar79.950.000.00 % 16:59
Index Quotes Change Change % Local
VIX13.270.080.61 % 04/23
MSCI Value Daily MTD YTD
Brazil2316.835-0.70 %2.43 % 4.45 %
Russia639.454-0.83 %-5.01 %-18.74 %
India437.375-0.05 %-0.43 %7.38 %
China59.114-0.96 %-0.48 %-6.32 %