US Stock Indexes Gap Up and Hold, Futures Following On

US Stock Indexes Gap Up and Hold, Futures Following On

$DIA $SPY $QQQ $RUTX $VXX

Monday, US stock index futures edge higher Monday evening following a sharp rally in the broad market.

Markets were bolstered after Fed Chairman Powell said Sunday night that he saw a path, toward an economic recovery from the C-19 coronavirus chaos in 2-H of Y 2020 and emphasized that he has more monetary-policy tools to help mitigate the harm to business activity from lockdowns and closures implemented to stem the spread of the virus.

Tuesday, Congress and the markets will hear from Chairman Powell and Treasury Secretary Steven Mnuchin. Both men will testify before the Senate Banking Committee.

Monday, the Dow DJIA, +3.85% rose 911.95 pts, or 3.9%, to finish at 24,597.37, the S&P 500 SPX, +3.15% rose 90.21 pts, or 3.2%, to end at 2,953.91, and the NAS Comp COMP, +2.44% added 220.27 pts, or 2.4%, closing at 9,234.83. The gains for the DJIA and S&P 500 were their sharpest since 6 and 8 April 6 respectively, according to Dow Jones Market Data.

Volume on the NYSE came in at 1.2-M/shares exchanged.

  • NAS Comp +2.9% YTD
  • S&P 500 -8.6% YTD
  • DJIA -13.8% YTD
  • Russell 2000 -20.1% YTD

HeffX-LTN’s overall technical outlook for the major US stock market indexes is Bullish with a Very Bullish bias in here

Looking Ahead: Investors will receive Housing Starts and Building Permits for April Tuesday.

Notes: Confidence among US single-family homebuilders rose in May, potentially signaling that the worst of the economic downturn was probably over as the country gradually reopens after lockdowns to slow the spread of C-19 coronavirus.

The next leg up looking like another 10% on the S&P 500 to me.

Have a healthy day, Keep the Faith!

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Paul Ebeling

Paul A. Ebeling, a polymath, excels, in diverse fields of knowledge. Pattern Recognition Analysis in Equities, Commodities and Foreign Exchange, and he it the author of "The Red Roadmaster's Technical Report on the US Major Market Indices, a highly regarded, weekly financial market commentary. He is a philosopher, issuing insights on a wide range of subjects to over a million cohorts. An international audience of opinion makers, business leaders, and global organizations recognize Ebeling as an expert.