The 1-Minute Market Report – October 9, 2020

What’s happening now, and what it may mean going forward.

A quick summary

  • The dip-buyers are now just 2.9% away from making a new market high.
  • The earnings recession continues, but forward estimates look rosy.
  • Inflation is ticking higher from a very low base.
  • Big Tech has lost some of its mojo.
  • A COVID-19 vaccine is getting closer but is not yet in sight.

The S&P 500 was up 3.8% last week

It was a strong week, up 4 out of 5 days. The only downer was Tuesday, when Trump said he was ending congressional talks regarding a second round of stimulus payments until after the election. That didn’t play well, so he reversed course on Wednesday and the market rallied.

What caught my eye on the above chart, by Jill Mislinski from AdvisorPerspectives, were the three consecutive gap openings after Tuesday’s selloff. Gap openings are not uncommon, but three

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The 1-Minute Market Report – October 2, 2020

What’s happening now, and what it may mean going forward.

A quick summary

  • The dip-buyers are back, but they are not as committed as before.
  • The latest employment report was disappointing.
  • Earnings are improving, but they’re based on lowered expectations.
  • Inflation is rising from a very low base.
  • Big Tech is still leading but has lost a little horsepower.
  • A cheap and effective COVID vaccine is not yet in sight.

10 Major Indices and How They Performed Over Time

The next three charts come from my new favorite market analytics provider StockRover. We start with 10 major indices, including a new one – the Nasdaq Veles Water Index. You are undoubtedly familiar with the other nine.

I sorted the list by YTD returns from best to worst. You can see that the Nasdaq is still the frontrunner this year, but the up-and-coming Water index isn’t far behind. I also highlighted

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