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Market Rap 06/22/23 by CTG

SPY / QQQ / Vix

SPY 5 days, hourly candles S&P futures broke the lows from yesterday 433.48 the pre mkt low so far

435.50 the corresponding futures high

SPY 3 months, daily candles Daily consolidation continued yesterday, further cooling the RSI. Heading into a test of the 12ema(white). (support)

434.33 the low from yesterday - trading a tad under there for the potential small gap down open ahead

433.59

433.33 the daily 12ema

430.17

428.87 (resistance)

436.99 the high from yesterday

438.37

438.97 open gap

QQQ 5 days, hourly candles Nasdaq futures also broke the lows from yesterday 360.34 the pre mkt low

362.44 the corresponding futures high

QQQ 3 months, daily candles Testing the daily 12ema(white) - the mildest, healthiest consolidation will hold above this level (the same way it's held since breaking out in early May) (support)

360.96 the low from yesterday - trading right around that level currently

360.21 that daily 12ema

355.20

353.03 (resistance)

366.18 the high from yesterday

368.32

July Vix futures 3 months, daily candles Still extremely muted action off "oversold" levels, as the broad market pulls back. If this doesn't get going in short order, it seems to be implying this broad market cool off from overbought levels will remain healthy.

Spot Vix 3 months, daily candles Trying to peek over yesterdays highs today, after falling to further new multi-year lows yesterday; in the face of the broad market cooling off from overbought levels. No fear here.

https://www.briefing.com/stock-market-update [BRIEFING.COM] S&P futures vs fair value: -10.00. Nasdaq futures vs fair value: -45.00.The S&P 500 futures are down 10 points and are trading 0.3% below fair value. The Nasdaq 100 futures are down 45 points and are trading 0.3% below fair value. The Dow Jones Industrial Average futures are down 89 points and are trading 0.2% below fair value. Market participants remain in consolidation mode, driving stock futures lower. Mega caps are a notable pocket of weakness this morning, reflecting a continued inclination to sell into strength after their big run of late. Also, Fed Chair Powell will continue his semiannual monetary policy testimony before the Senate Banking Committee at 10:00 a.m. ET. Several central banks announced policy rate increases, which has acted as a reminder that global inflation remains too high and that the lag effects of rate hikes may adversely impact global economic prospects. That understanding has contributed to the weakness this morning. The Bank of England surprised with a 50 basis points increase in its bank rate to 5.00%; the Swiss National Bank raised its policy rate by 25 bps to 1.75%, as expected; and the Norges Bank announced a 50-bps increase to 3.75% against expectations for a smaller increase. Market participants will receive a slate of economic data today, including:

  • 8:30 ET: Weekly Initial Claims (Briefing.com consensus 259,000; prior 262,000), Continuing Claims (prior 1.775 mln), and Q1 Current Account balance (prior -$206.80 bln)

  • 10:00 ET: May Existing Home Sales (Briefing.com consensus 4.28 mln; prior 4.28 mln) and May Leading Indicators (Briefing.com consensus -0.8%; prior -0.6%)

  • 10:30 ET: Weekly natural gas inventories (prior +84 bcf)

  • 11:00 ET: Weekly crude oil inventories (prior +7.92 mln)

In corporate news:

  • KB Home (KBH 50.78, -0.85, -1.6%): beats by $0.61, beats on revs, home deliveries increased 6%, raises full year housing revenue guidance

  • Darden Restaurants (DRI 159.00, -7.41, -4.5%): beats by $0.04, reports revs in-line; guides FY24 EPS in-line, revs in-line

  • Accenture (ACN 296.00, -17.20, -5.5%): beats by $0.18, reports revs in-line; guides Q4 revs in-line; guides FY23 EPS in-line

  • Tesla (TSLA 250.90, -8.54, -3.3%): downgraded to Equal Weight from Overweight at Morgan Stanley

  • Alcoa (AA 33.69, -1.22, -3.5%): downgraded to Underweight from Equal Weight at Morgan Stanley

  • Anheuser-Busch InBev (BUD 57.77, +1.04, +1.8%): upgraded to Buy from Hold at Deutsche Bank

  • FactSet (FDS 427.00, +3.66, +0.9%): beats by $0.18, reports revs in-line; raises FY23 EPS guidance; reaffirms FY23 revenue guidance

  • Boeing (BA 205.00, -7.08, -3.3%): Spirit Aerosystems (SPR 27.17, -2.51, -8.5%) to suspend factory operations


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