The S&P futures are higher up 15 points in pre-market trading. We generally see a BULLISH trend, but there factors that could derail it. It has nearly recovered from the coronavirus crash and appears to continue an upward trend.
| S&P 500 | 3271.12 | Buy |
| Crude | 40.6 | Sell |
| Gold | 1967.32 | Buy |
| BTC/USD | 11225.09 | Buy |
| Sector | Last | CHG% | CHG | High | Low | Signal |
| CONSUMER DISCRETIONARY | 1145.81 | 1.28% | 14.44 | 1160.3 | 1135.64 | Buy |
| CONSUMER STAPLES | 642.01 | −0.14% | −0.88 | 642.25 | 634.3 | Buy |
| HEALTH CARE | 1228.58 | −0.55% | −6.81 | 1234.93 | 1212.97 | Buy |
| INDUSTRIALS | 605.88 | −0.40% | −2.45 | 607.2 | 595.87 | Buy |
| INFORMATION TECHNOLOGY | 1942.39 | 2.50% | 47.45 | 1942.8 | 1893.97 | Buy |
| MATERIALS | 379.77 | 0.11% | 0.43 | 380.58 | 374.93 | Buy |
| REAL ESTATE | 224.82 | −0.16% | −0.36 | 225.19 | 221.79 | Buy |
| COMMUNICATION SERVICES | 191.69 | 0.77% | 1.47 | 192.27 | 188.92 | Buy |
| UTILITIES | 309.12 | 0.20% | 0.62 | 309.83 | 304.67 | Buy |
| FINANCIALS | 399.06 | 0.01% | 0.04 | 399.25 | 393.67 | Buy |
| ENERGY | 272.09 | −0.69% | −1.90 | 273.99 | 266.58 | Strong Sell |
BULLISH Drivers – The Trump administration was said to be looking at ways to support the economy if Congress failed to reach an agreement on a stimulus package. White House chief of staff Mark Meadows said that the White House was not optimistic about a stimulus deal being agreed to in the near term.
Approximately 60% of the S&P 500 companies have reported earning and 12 of the DOW with generally positive and optimistic outlooks. Robust manufacturing data from Europe and Asia sparked increased optimism over the global growth picture.
BEARISH Drivers: Fed Bank of MN president Neel Kashkari said the US might need to shut down its economy again, while also calling for more financial support from Congress. An additional shutdown is highly unlikely for the coronavirus, and the infection rate appears to be decreasing.
What to Watch For This Week
First, investors looking for direction, need to keep an eye on Congress and the White House. Also, any signals by the Federal Reserve as to the health of the economy. Lastly, investors need to wait for the await the release of additional earnings and the US manufacturing data to get a clearer picture as to how the economic rebound is faring.
