Category: US Markets

The S&P500 futures are trading below the 10-day average, following last Thursday’s pre-alert red arrow. Place the stop loss on a reversal above 4828.

The biggest contributors to the S&P 500’s banner year have been the usual suspects, currently dubbed the Magnificent Seven, which are Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia and Tesla. This group is up 75% in 2023, while the remaining 493 companies in the S&P 500 are about 12% higher.

S&P500 PE valuation excluding the magnificent 7 is trading at the long-term average of 16x, suggesting that most of the market is at fair value.

Crude Oil futures are trading at $71.50

S&P 500 earnings are forecast to grow 2-5 percent next year with EPS of $US225. This supports a price target of 4500 points for the index.

Crude Oil futures are trading $69.50

We’re bullish on value names as the gap in performance between growth and value widens. For example, the Russell 3000 Growth is up 34% this year, while the Russell 3000 Value is flat. This is one of the largest gaps in recorded history.

Small-cap value is among the most compelling investment opportunities in 2024.

NASDAQ Trade Table is up 21.3% YTD.

S&P 100 Trade Table is up 15.7% YTD

US Technolgy Disruptors is up 16.5% YTD