Equity Roundup: SPX Back to Mid-July Levels

Stock indexes continue to extend lows at midday, SPX eminis back to mid-July levels, weighed by continued weakness in Energy, Industrials and Materials sectors. Early profit warning headlines weighed heavily on FedEx and the Dow. Currently, SPX eminis trade -60.75 (-1.55%) at 3859; DJIA -373.26 (-1.21%) at 30589.7; Nasdaq -211.3 (-1.8%) at 11341.84.

• SPX extends Tuesday’s strong bearish reversal. Price has cleared key short-term support at 3900.00, the Sep 7 low. This confirms a resumption of the bear cycle that started mid-August and paves the way for a move towards 3819.54, a Fibonacci retracement. Key short-term resistance has been defined at 4175.00, the Sep 13 high.
• SPX leading/lagging sectors: Consumer Staples (-0.23%), Utilities (-0.41%) and Health Care outperformed (-1.0%). Laggers: As noted, Energy (-3.39%) weighed by Coterra Energy (CTRA) -6.04%, Halliburton (HAL) -5.17% and Devon Energy (DVN) -5.15%. Industrials (-2.67%) and Materials (-2.48%) followed.
• Dow Industrials Leaders/Laggers: JNJ +0.87 at 165.95, Proctor Gamble (PG) +0.33 at 137.77, Verizon (VZ) +0.14 at 41.17. Laggers: Goldman Sachs (GS) -9.22 at 322.40, Boeing (BA) -6.14 at 143.64, United Health (UNH) -4.86 at 518.05.