Market Insights with Eric: Episode 44


U.S. Equity Indexes

  • S&P 500: Despite recent volatility and pullbacks, the market remains stable and has found support at the 150-day moving average. This will be a key level to watch to determine if the uptrend that began in October 2023 will continue.
  • Nasdaq 100: The index is holding the 200-day moving average, and it will be important to monitor whether this support level remains intact.

Market Indicators & Trends:

  • U.S. Small Caps: Small-cap stocks, which often serve as a leading indicator for large-cap stocks, are showing signs of weakness. They have broken below several key trend lines but are still holding above the 400-day moving average.
  • International Stocks: International stocks have performed well this year, reaching recent highs. Much of this strength has been driven by the recent weakness in the U.S. dollar.

U.S. Treasuries:

  • There are positive signs in the bond market, as the 10-year Treasury yield has declined to 4.15%. All major moving averages have converged just above the current yield level, and the 10-year Treasury yield has recently broken below these lines.

Key Watchpoint – Treasury Yields:

  • If Treasury yields continue to decline, this could provide a tailwind for stocks, helping to stabilize recent volatility and potentially fueling a market rebound.

Great Valley Advisor Group is excited to present the latest episode of our video series featuring our Chief Market Strategist, Eric Parnell, CFA. At under 3-minutes each, these bi-weekly videos are meant to provide concise observations on relevant economic indicators to strengthen your knowledge and understanding of current market trends.

Eric Parnell is solely an investment advisor representative of Great Valley Advisor Group, and not affiliated with LPL Financial. Any opinions or views expressed by Eric Parnell are his own and are not those of LPL Financial. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. All performance referenced is historical and is no guarantee of future results. All indices are unmanaged and may not be invested into directly. Economic forecasts set forth may not develop as predicted.

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