Morning Market Update Thursday, September 15, 2022

Providing Market Insights and Returns

Futures are little changed ahead of the jobless numbers and more economic data at 8:30. DOW FUT -.05%. S&P -0.25%, NAS -0.45%, OIL -1.47%, Gold -.85%, and the US 10yr up 4bps @3.46%. Asian markets were overall mixed but the Shenzhen fell 2%. A whole batch of data out this morning, giving a final look at if the fed action so far has made any headway at the bottom of the market.

Yesterday was a lackluster day. The market was choppy before closing slightly in the green. The breadth was pretty dull, with adv/decline just about 1 to 1. The number of stocks that fell to a new 4 week low increased from 18% to 30%, and the percentage of stocks above their 50dma also decreased to 37%. On a up day we should see at least some internal support to warrant any excitement, this data shows that yesterday was a day of indecision. Looking at the chart we can see the support level that was put in in June and July, a breach of this level would likely retest at least the July lows. The downward sloping 200dma is still the resistance level that we need to see the market break. The next few weeks will be telling as we are heading into a tighter range of downward sloping resistance and upwards sloping support. Stay nimble.

Market News: Putin and Xi met in Uzbekistan, a significant move for the two countries as the Western World continues to push themselves away from China. Shell has picked a new CEO as the company tries to push further into green energy. Chinas use of oil is set to drop for the first time in years. However, oil tankers are in short supply adding to more potential shortages. The rail workers have reached a tentative agreement which will prevent the rails from shutting down for now. South Korea has launched an arrest warrant for the founded of Terra, the stable cryptocurrency that failed. TSLA has delayed the German plan expansion. ADBE reported earnings and they are down 7.5% after they announced they will be buying Figma for $20B in cash and stock. Hurricane Tracker: That potential storm in the middle of the Atlantic is not a tropical storm and is set to hit the VI and Puerto Rico this weekend.