Wall Street Held Weekly Gains on a Volatile Trading Day, Traders Bought the Dip
$DIA, $SPY, $QQQ, $VXX
US stocks fell Friday after a report the former US national security adviser Michael Flynn was prepared to tell investigators that before taking office President Donald Trump had directed him to make contact with Russians.
Does not appear that there is anything wrong with that except that when ask by the FBI, General Flynn did not remember, he knows better and our President sacked him.
General Flynn (ret) pleaded guilty Friday to lying to the FBI about Russia.
Reuters has not verified the ABC News report, which cited a Flynn confidant.
And with that Wall Street traders bought the dip on the promise by Senate majority leader Mitch McConnell (R-KY) that he had enough votes to pass the Republicans signature tax bill, which includes major incentives for corporate America.
The DJIA was down 350 points at its lowest point on the day.
The Senate news was the latest sign of progress for a tax bill being closely watched by investors, with hopes that significant corporate tax cuts will further fuel Wall Street’s record-setting rally.
Progress with the tax legislation in the Senate buoyed stocks this week, and drove a rotation into those areas ready to benefit from lower corporate taxes.
Energy was the best-performing sector, rising 0.6 percent. Crude Oil futures rose a day after OPEC and other major producers agreed to continue reining in output until the end of Y 2018 to try to reduce a global Crude Oil glut and boost prices.
The 10-year Treasury yield fell 5 bpts Friday and the US Dollar (.DXY) Index slid as investors flocked to the Japanese Yen.
Wall Street markets rallied this week, driving the DJIA past 24,000, on speculation tax cuts will supercharge already strong economic growth. That narrative that took over in afternoon trading as stocks marched steadily higher to nearly erase the dip.
Friday, the US major stock market indexes finished at: DJIA -40.76 at 24231.59, NAS Comp -26.39 at 6847.57, S&P 500 -5.36 at 2642.22
Volume: Trade on the NYSE came in at: 972-M/shares exchanged
- NAS Comp +27.2% YTD
- DJIA +22.6% YTD
- S&P 500 +18.0% YTD
- Russell 2000 +13.3% YTD
|HeffX-LTN Analysis for DIA:||Overall||Short||Intermediate||Long|
|Very Bullish (0.64)||Bullish (0.40)||Very Bullish (0.85)||Very Bullish (0.67)|
|HeffX-LTN Analysis for SPY:||Overall||Short||Intermediate||Long|
|Very Bullish (0.57)||Bullish (0.44)||Very Bullish (0.69)||Very Bullish (0.58)|
|HeffX-LTN Analysis for QQQ:||Overall||Short||Intermediate||Long|
|Very Bullish (0.61)||Very Bullish (0.54)||Very Bullish (0.60)||Very Bullish (0.67)|
|HeffX-LTN Analysis for VXX:||Overall||Short||Intermediate||Long|
|Bearish (-0.31)||Neutral (-0.19)||Bearish (-0.44)||Bearish (-0.29)|
Have a terrific weekend.