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Equities Roundup: Weak Job Openings Spurs Rate Cut Hopes, Eqs Bounce

US STOCKS
  • Stocks bounced off lows following weaker than expected JOLTS job openings data rekindled projections of a rate cut in early 2024. Trading mixed ahead midday, DJIA is currently down 150.44 points (-0.42%) at 36049.79, S&P E-Mini futures down 8 points (-0.17%) at 4568.25, Nasdaq up 29.3 points (0.2%) at 14214.24.
  • Leading gainers: Consumer Discretionary and Information Technology sectors outperformed, auto-makers supporting the former with Tesla +4.39%, GM +0.51%. Hardware and storage makers buoyed the IT sector: Apple +2.5%, Keysight Technology +0.39%, Arista Networks +0.35%.
  • Laggers: Materials and Utility sectors underperformed, metals/mining shares weighing on the former: Steel Dynamics -2.11%, Newmont Mining -2.02%,m Freeport-McMoRan -1.62%. Meanwhile, water and multi-provider utility stocks traded weaker: Sempra -2.21%, CMS Energy -1.85%, PPL Corp -1.67%..
  • A bullish theme in S&P e-minis remains intact and last Friday’s push higher is a positive development. The contract is trading closer to its recent highs and so far, corrections have been shallow. Note too that moving average studies are in a bull-mode position and this highlights positive market sentiment. A resumption of gains would signal scope for a climb towards 4690.75, the Aug 2 high. Initial support lies at 4596.86, the 20-day EMA.

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