{"id":23352,"date":"2024-05-23T15:05:12","date_gmt":"2024-05-23T20:05:12","guid":{"rendered":"https:\/\/www.eoption.com\/market-review-may-23-2024\/"},"modified":"2024-05-23T15:05:12","modified_gmt":"2024-05-23T20:05:12","slug":"market-review-may-23-2024","status":"publish","type":"post","link":"https:\/\/www.eoption.com\/market-review-may-23-2024\/","title":{"rendered":"Market Review: May 23, 2024"},"content":{"rendered":"\n
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Closing Recap<\/span><\/b><\/p>\n

Thursday, May 23, 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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-605.78<\/span><\/p>\n<\/td>\n

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1.53%<\/span><\/p>\n<\/td>\n

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39,065<\/span><\/p>\n<\/td>\n<\/tr>\n

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

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-39.14<\/span><\/p>\n<\/td>\n

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

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5,267<\/span><\/p>\n<\/td>\n<\/tr>\n

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

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-65.51<\/span><\/p>\n<\/td>\n

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0.39%<\/span><\/p>\n<\/td>\n

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16,736<\/span><\/p>\n<\/td>\n<\/tr>\n

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

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-33.60<\/span><\/p>\n<\/td>\n

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1.60%<\/span><\/p>\n<\/td>\n

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2,048<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

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U.S. stocks opened at their best levels, with the S&P 500 and Nasdaq each touching intraday all-time highs behind great earnings, revenues, comments about growth\/outlook for NVDA, the world\u2019s top semiconductor chip leader and \u201cAI\u201d leader. The results were strong, beating lofty expectations and lifted the technology sector with the Nasdaq coming within whiskers of 17,000 for the first time ever (16,996.39 high) and the Semi index (SOX) hitting a record as well at 5,255.63 (topping prior 5,217.82 high in March). However, that was the peak of the day, and markets pulled back (sharply) on profit taking, led by another round of better economic data which softened the case for Fed rate cuts sooner than later. The Nasdaq hit lows below 16,700 and the S&P (SPX) below 5,260 (off intraday highs above 5,340). NVDA shares were strong, rising as high as $1,060 before paring gains, but overall market breadth was weak, as the NYSE decliners outpaced advancers by over 6-1 margin. All eleven S&P sectors were in the \u201cred\u201d, with more than 1% declines for REITs, Utilities, Healthcare, Financials, Staples, Consumer Discretionary, and Communications. The Dow tumbled over -600 points of 1.5% led by a 7% decline in Boeing (BA) after commentary about cash flow and other stories (Dow now 1,000 points below Monday 40,077 high). <\/p>\n

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With the NVDA earnings catalyst behind us now, today seemed more of a \u201csell on the news\u201d event for the broader market which up until today had enjoyed a strong May (still is). Smallcaps underperformed as the Russell 2000 fell over -1.75% to 2-week lows. Cautious comments from Doubleline\u2019s Jeff Gundlach also added to sell-off, saying: notes inverted US yield curve is a big problem for leveraged investors; US recession likely this year already; he\u2019s worried about climbing US government interest debt expense. Treasury yields spike after S&P PMI data was strong, as the 10-year hits more than 1-week high above 4.49% from 4.43% prior to data. The CBOE Volatility Index (VIX) rolled more than -6% to $11.53 earlier, lowest since 2020 (Covid times) but finished in positive territory, rising more than 6% above 13. Bitcoin prices roll along with pullback in stocks, -2% below $68K. Gold prices declined over 2%. Dow Transports dropped over -1.25%, breaking below the 15,000 level when stocks were near lows late in the day. <\/p>\n

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Economic Data<\/p>\n