Keep your eye on chip and bank stocks Wednesday after Intel and Ally Financial, respectively, each received downgrades.
The Dow is flat and the Nasdaq is down a bit premarket ahead of an OPEC meeting and more scheduled Federal Reserve speakers, including Chair Jerome Powell at 12:10 p.m. ET.
The latest ADP nonfarm employment change showed 184,000 jobs were added in March versus estimates of 150,000, which is not good news for people hoping for a rate cut after the biggest jump in hiring since July.
I don’t believe this report is particularly accurate, especially over the last 15 sessions or so, so I don’t know if it’s really worth paying attention to in terms of what it says.
We’ll learn more on Friday with the Employment Situation report — this will tell us average hourly earnings and the unemployment rate.
The bond market (TLT), meanwhile, crapped out on Tuesday… But, I don’t believe it’s going to go off a cliff. The bond market going lower tells us rates are going to go higher — which is why stocks fell hard Tuesday.
So there’s a big, big disconnect in the market right now, BUT, the bond market has been wrong more this year than I’ve ever seen. So I don’t know how meaningful it is…
I’ll cover all that and more in this morning’s “Premarket Must Watch” video!
Roger Scott
Roger Scott Trading
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P.S. See My Most Shocking Q2 Predictions Later Today!
I’ll be live later today with a special presentation I call “Fresh Highs: A Q2 Market Outlook.”
Be sure to be there at 1 p.m. Eastern because I’m going to share some BIG predictions for stocks, oil, bonds and, yes, even crypto.
You’re bound to be shocked by a few of them!
Plus, I’m also sharing my top two stock picks for the second quarter of 2024!
If you’re serious about trading and investing, you’re going to have an absolute blast!
