Wednesday, January 15th, 2020
Indices: US stocks were higher in today’s session. The Dow Jones Industrial Average advanced 91 points or 0.31% and closed above 29,000 for the first time ever. The Nasdaq was flat, while the S&P 500 closed higher by 0.19%. The Russell 2000 was the strongest of the major averages, gaining 0.40%.
Sectors: Utilities led, gaining 1.40%. Real Estate lagged, falling 0.74%.
Commodities: Crude Oil futures were flat, closing at $58.12 per barrel. Gold futures rose 0.62% $1,557 per ounce.
Currencies: The US Dollar Index slipped 0.17%.
Interest Rates: The US 10-year Treasury yield moved lower to 1.786%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
— Greg Harmon (@harmongreg) January 15, 2020
Today’s Chart of the Day was shared on Twitter by Greg Harmon (@harmongreg). It’s a daily candlestick chart of the 20+ year Treasury Bond ETF, $TLT. Greg points out that the ETF broke out of a falling wedge pattern today. In yesterday’s Chart of the Day, we highlighted the fact that US Treasury yields were setting up to break out in one direction or the other. Today we got the resolution that we were waiting for, with Treasury yields breaking lower. We saw the implications of falling rates immediately today. Bonds broke out, and safe assets such a Utilities, Real Estate, and Precious Metals all caught a bid. This type of price action begs the question, will the safety trade we saw 2019 reaccelerate in 2020? Let us know what you think; tweet us @TheChartReport.
Quote of the Day
“Being a nerd really pays off sometimes.”
– Ken Jennings (Jeopardy! Champion)
Yamada Sees S&P 500 Climbing to 3,500, Gold Also Going Higher – Bloomberg
Louise Yamada made an appearance on Bloomberg today to share her outlook on the S&P 500 and Gold prices.
Asset Managers Have Record Exposure as Wall Street Favors Technicals – SentimenTrader
Jason Goepfert of SentimenTrader points out that asset managers have record-high long exposure to equity index futures. He also explains that Wall Street analysts currently favor companies’ technicals more than their fundamentals.
January off to Stronger than Usual Start – But 2nd Half is Weaker – Almanac Trader
Seasonality expert, Jeff Hirsch says the second half of January tends to be weaker than the first half of the month.
The Largest Stocks Weigh Heavy on the S&P 500 – Bespoke
Bespoke discusses the fact that five stocks in the S&P 500 represent a whopping 17.3% of the index.
After a Year of Abuse – StockCharts.com
Greg Schnell of StockCharts.com takes a look at the comeback in pot stocks and breaks down a chart of one of the most popular stocks within the group, Canopy Growth Corp. ($CGC).
Top 10 Tweets
Discussed yesterday on @FinalBarSCTV on @StockChartsTV. 85% of SPX stocks > 200-day MA and when's the last time it was this high? Bull market in 2013-2014. Like many breadth indicators, this can remain positive much longer than you can remain solvent! $SPX $SPY pic.twitter.com/ojN8N9Vgdo
— David Keller, CMT (@DKellerCMT) January 15, 2020
— Brian Shannon, CMT (@alphatrends) January 15, 2020
— Mike Shell 🇺🇸 (@MikeWShell) January 15, 2020
Since you already know how we feel about BIG BASES it'll make sense when we say the Transports, Airlines & Truck Indexes are doing just that. pic.twitter.com/CyivWqWN76
— Wolfe Daily Howl (@WolfeDailyHowl) January 15, 2020
— imaginarydragons (@maginarydragons) January 15, 2020
— Lisa Abramowicz (@lisaabramowicz1) January 15, 2020
— Gold Ventures (@TheLastDegree) January 15, 2020
— Mark Ungewitter (@mark_ungewitter) January 15, 2020
— Archimedes (@AlphaTrader00) January 15, 2020
S&P 500 total returns since 1872 is a fun chart from BAML: pic.twitter.com/nhNgsektod
— Tracy Alloway (@tracyalloway) January 15, 2020