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Equities Roundup: Consumer Staples, Materials and Utilities Lagging

US STOCKS
  • Stocks drifting in modestly negative territory after midday, off early session gains as longs square up ahead Friday's September employment data. Currently, S&P E-Mini futures are down 24.75 points (-0.58%) at 4273, DJIA down 139.19 points (-0.42%) at 32990.45, Nasdaq down 77.5 points (-0.6%) at 13158.83.
  • Laggers: Consumer Staples, Materials and Utilities underperformed, the former weighed by food and beverage shares: Molson Coors -5.25%, Pepsico -3.93%, Coca-Cola -3.45%. Chemical names weighed on Materials sector: Eastman Chem -3.02%, Albemarle -2.85%, LyondellBasell Industries -2.66%. Independent power and electricity providers weighed on Utilities: AES -6.3%, AEP -4%, NextEra Energy -3.65%.
  • Leaders: Real Estate, Health Care and Financial sector shares outperformed, management and development shares buoyed the former: CoStar Group +1.81%, CBRE Group +0.75%. Pharmaceutical and biotech shares underpinned Health Care sector shares: Eli Lilly +1.56%, Regeneron +1.25%, JNJ +0.75%. Meanwhile, Insurance companies buoyed the Financials sector: Assurant +0.95%, Chubb +0.9%, Travelers +0.65%.
  • Technicals: A bear cycle in S&P E-minis remains in play. The contract traded lower yesterday, confirming a resumption of the bear leg once again, maintaining the price sequence of lower lows and lower highs. This signals scope for weakness towards 4194.75, the May 24 low. Pivot resistance is 4447.76, the 50-day EMA. Ahead of the 50-day average is resistance at 4391.25, the 20-day EMA.

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