NDW Morning Pulse

Below are highlights from the NDW Morning Update Video for the morning of 09/10. Access the video on the NDW Morning Update Video page. 

• Markets traded broadly lower on September 9. The Russell 2000 Index (RUT) declined 1.32%, while the iShares MSCI EAFE ETF (EFA) and the S&P 500 Equal Weight Index (SPEWI) fell 1.11% & 0.97%, respectively.
• The Percent of S&P 500 Stocks on Point & Figure Buy Signals (^PTSPX) reversed back into a column of Os over the past week, signaling a deterioration in market participation. Despite the pullback, the indicator remains above 60%, indicating that a clear majority of S&P 500 constituents continue to trade in a positive trend.
• As investors await the next inflation report, futures markets are pricing in a greater than 60% probability of a rate hike at the September 16 FOMC meeting. Looking further ahead, the December 9, 2026 FOMC meeting currently reflects a 50% probability of an additional rate increase.
• A few major stocks that are expected to report earnings this month include: Micron Technology Inc. ([MU 5/5 TA) on 9/30, Oracle Corporation ([ORCL] 1/5 TA) on 9/10, and Costco Wholesale Corporation (COST 3/5 TA) on 9/24.
• Yesterday's research piece highlighted ongoing weakness within the retail sector. The State Street SPDR S&P Retail ETF (XRT) generated a sell signal earlier this month and currently carries a weak Fund Score of 2.22, reflecting continued relative strength concerns.