Happy Easter weekend (for those that celebrate it)! I hope you’re all enjoying a lovely spring weekend.
Today, I want to bring you a market update on what’s been going on in the markets. I’ll be showing you the new key levels that the S&P has reached, and where we could head from here.
I’ll also share with you a great tool for gauging whether a stock is overbought or undersold, called “sentiment charts.” I’ll also show you a great way to measure breadth (how many companies are moving up or down in a period of time), which helps determine if the market has strong momentum. I’ll walk you through – step by step -how to access this free tool, as well as how to interpret it.
Finally, we’ll look at the performance of the major sectors to see which ones have performed best recently, and where our best investment opportunities lie in the future.
Click below to watch.
JP Morgan (JPM) decisively moved the markets on Friday with their Q1 earnings that had record revenues and earnings. In addition, CEO Jaime Dimon’s positive economic outlook helped boost not only the stock, but the market in general. In contrast, Wells Fargo (WFC) also reported good earnings and a decent outlook, but their volume of loans and deposits were down more than analysts were expecting. WFC was up in the Friday pre-market, perhaps on the coattails of JPM and them plummeted for the rest of the day. In Monday premarket moves, two more of the top 6 U.S. Banks reported earnings with Goldman Sachs falling -3% as earnings beat estimates, but revenues dropped 13% Year-over-Year. Citigroup (C) also reported strong earnings and reduced revenues, though the latter was much less than GS’s, and Citigroup’s stock only fell -0.5%.
Earning Season Will Be a Key Market Mover
The earnings season, where companies report their first quarter of 2019 (Q1) numbers, is upon us. Traditionally, earnings season doesn’t start until Alcoa (AA), the large aluminum manufacturer, reports earnings – and that will be next Wednesday. But some large banks reported on Friday (4/12) and their results were market movers. I wrote last Monday about J.P. Morgan (JPM), one of the best run banks in the world, reporting before the open on Friday along with beleaguered Wells Fargo (WFC). Rounding out the big banks top 6 – #2 Bank of America (BAC) and #6 Morgan Stanley (MS) will report on Tuesday and Wednesday respectively.