Overnight Market Wrap: 18 October 2022

Overnight Market Wrap: 18 October 2022

Key Points:

  • S&P 500 Bounces Off Make-Or-Break Technical Level: Markets Wrap
  • Morgan Stanley’s Wilson says US stocks can rally in short term
  • Dip buyers wager US will lead way out of turmoil: MLIV Pulse

Stocks saw big gains Monday, with the S&P 500 closing above a key technical level and another giant bank coming out with solid results. A reversal of the UK’s vast fiscal stimulus also bolstered trader sentiment.

The breadth of the rally was so strong that at one point over 99% of the companies in the US equity benchmark were up, with the gauge pushing away from its 200-week moving average. The tech-heavy Nasdaq 100 outperformed, notching its biggest gain since July.

A rout in the S&P 500 has left the index testing a ‘serious floor of support’ which could lead to a technical recovery, Morgan Stanley’s Mike Wilson wrote. The strategist, who’s one of Wall Street’s most-prominent bearish voices, said he “would not rule out” the measure rising to about 4,150. That’s 13% above current levels.

“Stocks may be ripe for a near-term bounce,” wrote BCA Research strategists led by Roukaya Ibrahim. “While economic conditions have not changed — and therefore do not warrant a shift in the cyclical outlook — technical conditions are pointing to a potential rebound.” 

The arrival of earning has historically served as a remedy for ailing equities, lifting the S&P 500 roughly 76% of the time since 2013. Cut-to-bone profit estimates are making the hurdles easy to clear. 

Data Monday showed a measure of New York state manufacturing contracted for a third month in October, and a larger share of factories were more downbeat about business conditions in early 2023. The prices-paid measure rose for the first time since June.

Trade the global markets with a broker that has integrity, honesty and transparency at its core

過去のニュース

This website is owned and operated by the Ox Securities group of companies, which include:
Ox Securities Pty Ltd registered address Level 37, 1 Macquarie Place, Sydney NSW 2000 Australia. AFSL 438402 ACN 163 551 602
Ox Securities Limited (SV) registered address Suite 305, Griffith Corporate Centre, Beachmont, Kingstown, St Vincent and the Grenadines
Risk Warning: The information contained on this website is general in nature and does not constitute advice or a recommendation to act upon the information or an offer. The information on this website does not take into account your personal objectives, circumstances, financial situations or needs. You are strongly recommended to seek independent professional advice before opening an account with us and/or acquiring our services/products. Ox Securities Limited (SV) do not accept applications from residents of the United States of America and Australia
Before you decide whether or not to invest any products referred to on this website, being over the counter (OTC) derivatives, it is important for you to read and consider our Financial Services Guide (FSG), Product Disclosure Statement (PDS), and Terms and Conditions (T&C), and ensure that you fully understand the risks involved. Fees, charges and commissions apply. OTC derivatives, including margin foreign exchange contracts and contract for differences, are leveraged products that carry a high level of risk to your capital. Trading is not suitable for everyone. You may incur losses that are substantially greater than your initial investment. You do not own, or have any rights to, the underlying assets which the OTC derivative is referring to. You should only trade with money you can afford to lose. There are also risks associated with online trading including, but not limited to, hardware and/or software failures, and disruptions to communication systems and internet connectivity.

Copyright © OxSecurities 2020. All rights reserved