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Today’s Summary
Friday, April 30th, 2021
Indices: US Stocks ended the week on a sour note with the Dow Jones Industrial Average falling 186 points or 0.54%. The S&P 500 and Nasdaq closed lower by 0.72% and 0.85%, respectively. The Russell 2000 underperformed dropping 1.26%.
Sectors: 4 of the 11 sectors closed higher. Utilities led, rising 0.79%. Energy lagged, dropping 2.53%.
Commodities: Crude Oil futures moved lower by 2.20% to $63.58 per barrel. Gold futures were unchanged and continue to trade around $1,768 per ounce.
Currencies: The US Dollar Index gained 0.73%.
Interest Rates: The 10-year US Treasury inched lower to 1.635%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
This relationship is such a good one for your toolbox if you're not using it already. Historically reliable, and a great one to reference when the "markets in turmoil" headlines inevitably come up. Long term interpretation = Bullish stocks. $XLP $SPY $SPX #StocksToWatch pic.twitter.com/l8D8btB8Xm
— Drew Wells, CMT, CIMA® (@DrewTheCharts) April 30, 2021
Today’s Chart of the Day was shared by Drew Wells (@DrewTheCharts) It’s a ratio chart of the Consumer Staples sector vs. the S&P 500 over the past two decades. The largest stocks in the Consumer Staples sector include Procter & Gamble ($PG), Coca-Cola ($KO), PepsiCo ($PEP), Walmart ($WMT), and Costco ($COST). It’s considered one of the safest sectors in the S&P 500. The idea is that even in times of economic stress, consumers are going to continue buying the goods that these companies sell like toothpaste, toilet paper, soda, etc. When these stocks are outperforming the broader market it’s a bearish sign of risk aversion. But as Drew points out, Staples are breaking down on a relative basis to the lowest level in two decades, which is a bullish sign of risk appeitite.
Quote of the Day
“Make each day your masterpiece.”
– John Wooden
Top Links
Here Comes Sell in May – LPL Financial Research
The team at LPL Financial points out that the “worst six months” starts next week.
Semis Lose Their Shine – StockCharts.com
Art Hill examines the recent weakness in Semiconductor stocks.
Stock Market Analysis April 30th, 2021 – Brian Shannon
Brian Shannon analyzes this week’s price action and lays out some levels of interest to keep an eye on next week.
Was That it for Growth? – All Star Charts
Steve Strazza takes a look at Growth vs. Value.
Where Do We (Investors) Stand? – David Cox
In this quick video, David Cox highlights some noteworthy technical developments.
Top Tweets
The S&P 500 just clocked a casual 5.2% return this month, and it’s risen in 16 out of the past 17 Aprils.
??
— Callie Cox (@callieabost) April 30, 2021
Weekly $SPX update: so much happened but we end up with one of the smallest weekly candles you'll ever see. Noticed that $VIX standard deviation sits at lowest level in past year, any tsunami thoughts @AndrewThrasher ? pic.twitter.com/rQxswQTywK
— Michael Turvey (@MikeTurvey_TDA) April 30, 2021
$ES, 15m
4165 acted as support 5 times during the last 6 trading sessions.
Make it or break it level. pic.twitter.com/vnvOGrPSQQ
— Yuriy Matso (@yuriymatso) April 30, 2021
The S&P500 doesn't tell the whole story about how the US Stock Market has performed since Mid-February. You can see it in the new highs list (or lack thereof) but here's a quick snapshot of the "2021 is NOT 2020 environment". Chop Chop Chop…. pic.twitter.com/OiCSipZZKq
— J.C. Parets (@allstarcharts) April 30, 2021
Real Estate is becoming very attractive on both an absolute and relative basis… pic.twitter.com/Uqe3LSMYnU
— Ian McMillan, CMT (@the_chart_life) April 30, 2021
Real Estate best sector this month. Financials 2nd best.
Staples, Energy weak. $XLR $XLF $XLP $XLE $SPY @StockCharts https://t.co/gLuVDVpUEX pic.twitter.com/EzC2Fd0ItU— Mike Zaccardi, CFA, CMT (@MikeZaccardi) April 30, 2021
Crude Oil – Monthly$CL_F #Monthlycharts pic.twitter.com/Ee6QUT0Eim
— Bhagyashree Urdhwareshe, CMT (@sunsofttech) April 30, 2021
10 & 25 yr seasonality of the $DXY… ? pic.twitter.com/7LJ3oP7TwD
— Dan J. Gorghuber, CMT (@Futures_Runner) April 30, 2021
$HPQ monthly – 20 year base pic.twitter.com/bw8zxIUWh3
— RSL (@rsandbachlaw) April 30, 2021
https://twitter.com/FusionptCapital/status/1388222737424912385
You’re all caught up now. Thanks for reading!