Profit Taking May Contribute To Initial Weakness On Wall Street

[ADVFN]( [[Global Email] World Daily Markets Bulletin]( Wednesday, 20 December 2023 08:48:24 [ADVFN Twitter]( [Monitor]( [Quote]( [Charts]( [News]( [Toplists]( [Boards]( Breaking: Price of Gold & Silver set to EXPLODE in 2023! Read Now... Attention investors and retirement savers...Investment experts and even mainstream news publications are predicting a windfall for gold and silver prices in 2023! This could be the year we see the value of precious metals like gold and silver EXPLODE! You won't want to miss out! [Reserve Your FREE Gold & Silver Kit Today!]( --------------------------------------------------------------- US Market Bitcoin [Bitcoin]( DAX [DAX]( Dow Jones [Dow Jones]( Nasdaq [Nasdaq]( The major U.S. index futures are currently pointing to a modestly lower open on Wednesday, with stocks likely to give back ground after moving notably higher in recent sessions. Profit taking may contribute to initial weakness on Wall Street, as some traders look to cash in on the recent strength in the markets. The Dow and the Nasdaq closed higher for the ninth consecutive session on Tuesday, as traders continue to express optimism about the outlook for interest rates. The upward trend has lifted the Dow to new record highs, while the Nasdaq and the S&P 500 have reached their best levels in nearly two years. A steep drop by shares of FedEx (FDX) may weigh on the markets, with the delivery giant plunging by 11.1 percent in pre-market trading. The nosedive by FedEx comes after the company reported weaker than expected fiscal second quarter results and lowered its full-year revenue guidance. Stocks moved mostly higher early in the session on Tuesday and saw continued strength throughout the trading day. With the upward move, the Dow and the Nasdaq extended their recent winning streaks to nine consecutive sessions. The major averages saw further upside going into the close, reaching new highs for the session. The Dow advanced 251.90 points or 0.7 percent to a new record closing high of 37,557.92. The Nasdaq climbed 98.03 points or 0.7 percent to 15,003.22 and the S&P 500 rose 27.81 points or 0.6 percent to 4,768.37, reaching their best closing levels in almost two years. Optimism about the outlook for interest rates continued to contribute to strength on Wall Street following the Federal Reserve's monetary policy announcement last week. While the Fed's latest projections pointed to three interest rate cuts next year, investors widely expect the central bank to lower rates more aggressively. Adding to the positive sentiment, San Francisco Federal Reserve President Mary Daly said interest rate cuts are likely to be appropriate next year because of an improvement in inflation. The Federal Reserve must make sure "we don't give people price stability but take away jobs," Daly told the Wall Street Journal in an interview. CME Group's FedWatch Tool is currently indicating a 67.5 percent chance the Fed lowers rates by a quarter point in March 2024. On the U.S. economic front, the Commerce Department released a report this morning unexpectedly showing a substantial increase in new residential construction in the U.S. in the month of November. The report said housing starts soared by 14.8 percent to an annual rate of 1.560 million in November after inching up by 0.2 percent to a downwardly revised rate of 1.359 million in October. The surge surprised economists, who had expected housing starts to decrease by 0.9 percent to an annual rate of 1.360 million from the 1.372 million originally reported for the previous month. Meanwhile, the Commerce Department said building permits slumped by 2.5 percent to an annual rate of 1.460 million in November after jumping by 1.8 percent to an upwardly revised rate of 1.498 million in October. Building permits, an indicator of future housing demand, were expected to fall by 1.1 percent to an annual rate of 1.470 million from the 1.487 million originally reported for the previous month. Gold stocks showed a substantial move to the upside on the day, driving the NYSE Arca Gold Bugs Index up by 2.9 percent to a five-month closing high. The rally by gold stocks came amid an increase by the price of the precious metal. Considerable strength also emerged among brokerage stocks, resulting in a 2.1 percent jump by the NYSE Arca Broker/Dealer Index. With the advance, the index has reached record closing high. Biotechnology, oil service and steel stocks also saw significant strength on the day, moving higher along with most of the other major sectors. --------------------------------------------------------------- Do you day trade? Trader Alerts streams stocks reaching new highs and lows as well as stocks breaking out of previous volume highs as they happen. It's a powerful tool for day trading ideas. [Learn More / Upgrade]( --------------------------------------------------------------- U.S. Economic Reports CADUSD [CADUSD]( Oil [Oil]( Gold [Gold]( EURUSD [EURUSD]( The Conference Board is scheduled to release its report on consumer confidence in the month of December at 10 am ET. The consumer confidence index is expected to rise to 103.4 in December after climbing to 102.0 in November. Also at 10 am ET, the National Association of Realtors is due to release its report on existing home sales in the month of November. Existing home sales are expected to dip to an annual rate of 3.77 million in November after slumping to a rate of 3.79 million in October. The Energy Information Administration is due to release its report on oil inventories in the week ended December 15th at 10:30 am ET. Crude oil inventories are expected to decrease by 2.2 million barrels after tumbling by 4.3 million barrels in the previous week. At 1 pm ET, the Treasury Department is scheduled to announce the results of this month?s auction of $13 billion worth of twenty-year bonds. --------------------------------------------------------------- [3 Tiny Stocks Primed to Explode]( The world's greatest investor ? Warren Buffett ? has a simple formula for making big money in the markets. He buys up valuable assets when they are very cheap. For stock market investors that means buying up cheap small cap stocks like these with huge upside potential. We've set up an alert service to help smart investors take full advantage of the small cap stocks primed for big returns. [Click here for full details and to join for free.]( --------------------------------------------------------------- Stocks in Focus Shares of Winnebago (WGO) are seeing significant pre-market weakness after the recreational vehicle maker reported fiscal first quarter results that missed analyst estimates. Packaged foods maker General Mills (GIS) may also come under pressure after reporting weaker than expected fiscal second quarter sales and lowering its full-year sales forecast. Shares of Salesforce (CRM) may also move to the downside after Wells Fargo downgraded its rating on the cloud-based software company to Equal Weight from Overweight. --------------------------------------------------------------- [Sell every Stock except ONE]( Markets are down... But Jeff Clark couldn't care less because he ignores almost every stock in the market except ONE. He lives financially free trading this One Stock Once per month... [Ticker Revealed.]( --------------------------------------------------------------- Europe European stocks are turning in a mixed performance on Wednesday as investors reacted to cautious comments from Federal Reserve officials on the interest rate outlook. The downside, if any, remained capped in the wake of softer inflation data from the U.K. and Germany. While the German DAX Index is just below the unchanged line, the French CAC 40 Index is up by 0.1 percent and the U.K.?s FTSE 100 Index is up by 0.7 percent. Telefonica has moved sharply higher after the Spanish government said it would buy a 10 percent stake in the telecoms giant. Petrofac, a provider of services to the energy industry, has also soared after winning a $1.4 billion contract under its multi-year deal with TenneT. Indivior has also shown a significant move to the upside after settling a patent dispute with Actavis Laboratories. Meanwhile, Dutch lender ING has edged down slightly after an announcement that it will stop financing oil and gas exploration and production by 2040. German copper producer Aurubis has also fallen as it confirmed a sharp 34 percent drop in earnings in its 2022/23 fiscal year end September. Deutsche Post has also shown a notable move to the downside after U.S. peer FedEx cut its full-year revenue forecast. On the economic front, more companies in Germany want to raise prices in the coming months, suggesting that the current easing trend in inflation is likely to stall, according to the results of a survey by the ifo institute. The ifo price expectations index rose to 19.7 in December from 18.1 in November. The reading indicates the percentage of companies that intend to increase prices on balance. Meanwhile, German producer prices declined for the fifth straight month in November due to cheaper energy costs, Destatis reported. Producer prices dropped 7.9 percent year-over-year in November, slower than the 11.0 percent fall in October. Economists had expected a decline of 7.5 percent. Germany consumer sentiment is set to strengthen at the start of next year amid improvements in both income and economic expectations, and the willingness to buy, survey results from the market research group GfK and the Nuremberg Institute for Market Decisions (NIM) showed. The forward-looking GfK consumer confidence index rose to -25.1 from a revised -27.6 in December. Economists had forecast a reading of -27.0. Elsewhere, data showed U.K. consumer price inflation reached its lowest level in more than two years in November, increasing bets for interest rate cuts by the Bank of England (BoE) next year. The consumer price index showed an annual increase of 3.9 percent, slower than the 4.6 percent rise in October. This was the weakest inflation since September 2021 and below economists' forecast of 4.4 percent. Another report revealed that input prices decreased 2.6 percent annually in November, the same pace of decline as seen in October. Factory gate prices dropped 0.2 percent following a revised decrease of 0.3 percent in October. --------------------------------------------------------------- Do you have a full view of the market? Level 2 lets you see all of the orders to buy and sell shares, allowing you to see what is really going on in the market. If you don?t have this in your trading toolkit, you?re at a serious disadvantage. [Learn More / Upgrade]( --------------------------------------------------------------- Asia USDCAD [USDCAD]( USDEUR [USDEUR]( USDGBP [USDGBP]( USDJPY [USDJPY]( Asian stocks advanced on Wednesday despite several Federal Reserve officials trying to dampen expectations of imminent interest rate cuts. As inflation ebbs, investors still expect a total of nearly 150 basis points of rate cuts in 2024. The odds of a cut as early as March are near 70 percent. Markets are on the lookout for the U.S November core personal consumption expenditure index data due on Friday for further direction. The dollar held steady in Asian trading, while oil held onto gains from the past two days on fears of more disruptions to the oil supply chain in light of attacks by Iran-backed Houthi militants in the Red Sea. Chinese shares fell sharply after the country's central bank stood pat on benchmark lending rates despite worries of deflation and slower economic growth. China's Shanghai Composite Index slumped 1.0 percent to 2,902.11, while Hong Kong's Hang Seng Index rose 0.7 percent to 16,613.81. Japanese markets rallied to close at over five-month highs in the wake of the Bank of Japan's dovish monetary policy stance. The Nikkei 225 Index jumped 1.4 percent to 33,675.94, marking its highest close since July 3. The broader Topix Index settled 0.7 percent higher at 2,349.38. Uniqlo-brand clothing shop operator Fast Retailing and silicon wafer maker Shin-Etsu Chemical both surged around 4 percent. Printing firm Toppan Holdings soared 8.5 percent on a brokerage upgrade. Investors shrugged off data showing that Japanese exports fell for the first time in three months in November. Seoul stocks rose for a fifth consecutive session to touch over three-month high on Fed pivot bets. The Kospi surged 1.8 percent to 2,614.30, marking the highest since September 15. Samsung Electronics, SK Hynix, LG Energy Solution and Samsung SDI all rose about 2 percent. Top automaker Hyundai Motor jumped 3.6 percent after announcing new executive appointments to strengthen the Group's leadership in future mobility solutions. HMM, the country's No. 1 container shipper, soared 20 percent after an announcement of its planned sale to Harim Group. Australian markets rose notably to hit a 10-month closing high, led by banks, energy stocks and gold miners. The benchmark S&P ASX 200 Index gained 0.7 percent to close at 7,537.90, while the broader All Ordinaries Index settled 0.6 percent higher 7,764. Across the Tasman, New Zealand benchmark S&P/NZX 50 Index dropped 0.3 percent to 11,579.80. --------------------------------------------------------------- Do you day trade? Trader Alerts streams stocks reaching new highs and lows as well as stocks breaking out of previous volume highs as they happen. It's a powerful tool for day trading ideas. [Learn More / Upgrade]( --------------------------------------------------------------- Commodities Crude oil futures are advancing $0.90 to $78.84 a barrel after jumping $1.12 to $73.94 a barrel on Tuesday. Meanwhile, an ounce of gold is trading at $2,046.10, down $6 compared to the previous session?s close of $2052.10. On Tuesday, gold climbed $11.60. On the currency front, the U.S. dollar is trading at 143.37 yen compared to the 143.84 yen it fetched at the close of New York trading on Tuesday. Against the euro, the dollar is trading at $1.0950 compared to yesterday?s $1.0981. --------------------------------------------------------------- To unsubscribe from this news bulletin or edit your mailing list settings click [here](. Registered Office/Accounts Dept: Suite 27, Essex Technology Centre, The Gable, Fyfield Road, Ongar, CM5 0GA. Customer Support +1 888-992-3836. Company registered in England and Wales: Number 2374988 VAT No. GB 549 2130 49