Good morning traders!
The S&P 500 ($SPY) is trading below Friday’s close. Let’s get into it…
Last week, a cooler-than-expected inflation reading raised prospects for more moderate rate hikes and helped fuel the stock market rally. The S&P 500 had its greatest week since June, while the Nasdaq had its best month since March. However, Fed officials are still advising that it might take some time for the central bank to control inflation. “Quit paying attention to the pace and start paying attention to where the endpoint is going to be. Until we get inflation down, that endpoint is still a ways out there,” Fed Governor Christopher Waller said Sunday.
In the news, Democrats will continue to control the U.S. Senate since Mark Kelly and Catherine Cortez Masto, the incumbents in Arizona and Nevada, both are predicted to win their elections. Those victories give Democrats the 50 votes needed for a majority, with Vice President Kamala Harris acting as the tie-breaker. While the house is likely to flip Republican, Democrats controlling the Senate will make it easier for Biden to appoint judges and new Cabinet members.
With Republicans in charge of the House of Representatives, this will help in fewer policy changes and, thus, less risk for the markets. We advise everyone to size down, and trade with caution as the market could go either direction very quickly; especially as political, geo-political, and inflation uncertainty is on the rise.
Potential Intraday Resistance Levels:
11/11/22 High of Day: $399.35
Potential Intraday Support Levels:
50D SMA (1hr): $395.92
11/11/22 Low of Day: $393.61
Note: Moving averages are reported from the previous trading session and will change during the next trading session.
Monday Economic Events:
No Major Economic Events
Fed Speaker Scheduled:
Lael Brainard 11:30am ET
John Williams 6:30pm ET
This article provided by the DailyBubble team should only be considered as informational and/or entertainment by the reader. DailyBubble makes no representation to buy or sell any security or financial instrument within the article. Readers seeking investment advice should seek independent financial advice from a professional, and independently research and verify. The DailyBubble team wrote this article and may express its own opinions therein.