{"id":23178,"date":"2024-04-11T15:08:02","date_gmt":"2024-04-11T20:08:02","guid":{"rendered":"https:\/\/www.eoption.com\/market-review-april-11-2024\/"},"modified":"2024-04-11T15:08:02","modified_gmt":"2024-04-11T20:08:02","slug":"market-review-april-11-2024","status":"publish","type":"post","link":"https:\/\/www.eoption.com\/market-review-april-11-2024\/","title":{"rendered":"Market Review: April 11, 2024"},"content":{"rendered":"\n
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Closing Recap<\/span><\/b><\/p>\n

Thursday, April 11, 2024<\/span><\/b><\/p>\n\n\n\n\n\n\n\n
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Index<\/span><\/p>\n<\/td>\n

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Up\/Down<\/span><\/p>\n<\/td>\n

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%<\/span><\/p>\n<\/td>\n

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Last<\/span><\/p>\n<\/td>\n<\/tr>\n

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DJ Industrials<\/span><\/b><\/p>\n<\/td>\n

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-2.43<\/span><\/p>\n<\/td>\n

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0.01%<\/span><\/p>\n<\/td>\n

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38,459<\/span><\/p>\n<\/td>\n<\/tr>\n

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S&P 500<\/span><\/b><\/p>\n<\/td>\n

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38.42<\/span><\/p>\n<\/td>\n

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0.74%<\/span><\/p>\n<\/td>\n

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5,199<\/span><\/p>\n<\/td>\n<\/tr>\n

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Nasdaq<\/span><\/b><\/p>\n<\/td>\n

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271.84<\/span><\/p>\n<\/td>\n

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1.68%<\/span><\/p>\n<\/td>\n

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16,442<\/span><\/p>\n<\/td>\n<\/tr>\n

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Russell 2000<\/span><\/b><\/p>\n<\/td>\n

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14.21<\/span><\/p>\n<\/td>\n

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0.70%<\/span><\/p>\n<\/td>\n

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2,042<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

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U.S. stocks market resiliency remains astounding as the Nasdaq Composite erased all its prior day CPI inflation report related losses, led by large cap tech (AAPL, AMZN, GOOGL, MSFT, NFLX) and semiconductors (NVDA, AMD, AVGO) as the SOX Semiconductor Index jumped over 2.4%. The S&P 500 also recovered nearly all its prior days losses as Bears were trampled again as investors \u201cbuy the dip\u201d continue to be rewarded for the last 6-months. Markets got a boost this morning as the March producer Price Index (PPI), which had posted two straight \u201chot\u201d inflation reports prior, showed decelerating prices this month. While the consumer prices index (CPI) carries greater weight than the PPI, today\u2019s numbers helped fit the market narrative of rate cuts in 2024 vs. the \u201chigher for longer\u201d view yesterday by the Fed and markets promptly responded with a full day market \u201csqueeze\u201d. While Fed speakers today (Collins, Barkin, Williams), still see cuts this year, they noted they were in no rush to cut amid inflation risks. U.S. stock markets bounced around 10:30 an never looked back, making new highs all day behind strength in tech. Financials lagged (XLF) ahead of bank earnings tomorrow from Cit, JPM, WFC and STT. REITs (XLRE) also experienced a modest bounce after tumbling 4% Thursday. After a 6:1 NYSE breadth edge Wednesday for decliners over advancers, today was slight edge for advancers. <\/p>\n

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In an interesting statistic, @MikeZaccardi noted \u201cthe 10yr yield is up 80bps since Dec 27, in that time: $SPY +8%<\/p>\n

$QQQ +7%, $IWM -1%, $VEU +4%, $USO +18%, $DXY +5%, $GLD +13%\u201d (and don\u2019t forget $BTC Bitcoin up 67% YTD) \u2013 in what has been an all-out buying frenzy for stocks, crypto, oil, the U.S. dollar, and gold! The rally has come on broad hopes of aggressive rate cuts this year \u2013 but since three straight \u201chotter\u201d CPI prints to start the year, expectations have diminished \u2013 but that still has not deterred investor buying of stocks (S&P less than 2% off ATH), Bitcoin (about 2% off its record highs), Gold (just off recent all-time highs), and oil (best levels in 5-months). Something just not adding up. <\/p>\n

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The European Central Bank (ECB) decided to keep the three key ECB interest rates unchanged saying the incoming information has broadly confirmed the Governing Council\u2019s previous assessment of the medium-term inflation outlook.<\/p>\n

Inflation has continued to fall, led by lower food and goods price inflation. Most measures of underlying inflation are easing, wage growth is gradually moderating, and firms are absorbing part of the rise in labor costs in their profits. Financing conditions remain restrictive and the past interest rate increases continue to weigh on demand, which is helping to push down inflation. But domestic price pressures are strong and are keeping services price inflation high. <\/p>\n

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Economic Data<\/p>\n