REPOST Equity Roundup: Stocks Don't Like Rate Hike Prospects

Updates stock levels. Stock indexes trading mildly weaker at midday, off post-data lows on modest position squaring ahead the weekend. Currently, SPX eminis trades --27.75 (-0.67%) at 4124.75; DJIA -92.74 (-0.28%) at 32634.1; Nasdaq -136.2 (-1.1%) at 12584.44.

• Much stronger than expected jobs gains for July: +528k vs. +250k est , weighed on Tsy and equity markets as strong data spurs recession bet positioning as payrolls close gap with pre-pandemic levels, 75bp rate hike in September getting priced in again.
• Technicals: Today's pullback is considered corrective. The break of Monday's 4147.25 high confirms a resumption of the current bull cycle and maintains the price sequence of higher highs and higher lows. This opens 4204.75 next, May 31 high and the next key resistance. On the downside, initial trend support is at 3913.25, the Jul 26 low. The 50-day EMA intersects at 3991.98.
• SPX leading/lagging sectors: Energy sector rebounds (+2.04%) lead by EOG Resources (EOG) +6.79%, Diamond back Energy (FANG) +4.68%; Financials (+0.40%) followed by slightly weaker Materials (-0.28%). Laggers: Consumer Discretionary (-1.77%) weighed down by autos, particularly Tesla (-5.66%), Communication Services (-1.41%) w/ media and entertainment lagging.
• Dow Industrials Leaders/Laggers: JP Morgan (JPM) +2.62 at 114.98, Goldman Sachs (GS) +2.51 at 334.38, Chevron (CVX) +2.41 at 153.55. Laggers: United Health (UNH) -2.98 at 530.77, Microsoft -2.84 at 280.81, McDonalds (MCD) -2.36 at 258.28.