Markets were mixed on Thursday, with the S&P 500 itself declining around 0.30%
Below are highlights from the NDW Morning Update Video for the morning of 10/30. Access the video on the NDW Morning Update Video page.
- Markets were mixed on Thursday, with the S&P 500 itself declining around 0.30%. However, the average stock, represented by the S&P 500 Equal Weight Index (SPXEWI), put together a strong day with a gain of 1.21%.
- With the average stock performing well, most participation indicators lifted higher on the day. Most notably, the positive trend percent for the S&P 500 (^PTSPX) reversed back into a column of Xs, leaving it back above the 50% level where the majority of gains occur.
- Movement yesterday was enough to push Domestic Equities back to the top of DALI’s asset class ranks. International equities and domestic equities have been neck and neck over the last several months, and both remain overweights despite the move.
- One of the worst performing areas on Thursday was the software sector, with the iShares North American Tech-Software ETF (IGV) declining 3.5% on the day. Fortinet Inc. (FTNT) plummeted more than 20% after reporting earnings, but is still a 3 for 5’er, and is now in heavily oversold territory right above its bullish support line. Watch for further changes in TA as markets digest results.
- The Vanguard Morningstar Growth ETF (VUG) reversed back into a column of Os against the Vanguard Morningstar Value ETF (VTV), highlighting near-term relative weakness from growth names against value names. That said, growth still holds long-term relative strength, sitting on an RS buy signal since the first half of 2023.
