U.S. markets traded mixed throughout Thursday’s session with Tech weighing on momentum. Economic news had little effect on the market as Wall Street remained focused on earnings following the peak day and week of the 2Q season.
The divergence between the major indexes held key support and resistance levels with the small-caps showing the most strength. Volatility remained tamed with the recent trading range still indicating higher highs for the market.
The Russell 2000 rose 0.6% following an intraday push just south of 1,703. The index failed to hold the 1,700 level and has been trapped in a trading range between 1,680-1,700 that has lasted throughout much of July.
The Dow advanced 0.4% after holding positive territory throughout the session while reaching a peak of 25,587. March and June resistance at 25,400 was cleared with continued closes above this “double top” level being a bullish development.
The S&P 500 fell 0.3% after trading in negative territory throughout the day while bottoming at 2,835. Fresh support at 2,835-2,830 held with a move below 2,825 signaling a possible short-term top.
The Nasdaq sank 1% after opening below the 7,900 level while tapping an intraday low of 7,834. Fresh support at 7,825-7,800 held with a move below the latter also suggesting a short-term peak for the index.
Utilities and Energy led sector strength after rising 1.1%. Industrials added 0.8%.
Communications Services were whacked for 3.8% and easily led sector laggards. Technology tanked 1.5%.
Dana (DAN) upgraded to Overweight from Equal Weight at Barclays
Integra LifeSciences (IART) upgraded to Buy from Neutral at BTIG
Cracker Barrel (CBRL) upgraded to Buy from Hold at Maxim
Facebook (FBWealth Strength IndexAAPL is Extremely Up and trending Up) downgraded to Outperform from Strong Buy at Raymond James
Owens Corning (OC) downgraded to Neutral from Buy at BofA/Merrill
Skechers (SKX) downgraded to Hold from Buy at Argus
Friday’s earnings announcements (EST):
Before the open: AbbVie (ABBV), Barnes Group (B), Cabot Oil & Gas (COG), Chevron (CVX), Del Frisco’s Restaurants (DFRG), Exxon Mobil (XOM), Franklin Resources (BEN), Goodyear Tire & Rubber (GT), Iron Mountain (IRM), Merck (MRK), Moody’s (MCO), Phillips 66 (PSX), Sonic Automotive (SAH), Twitter (TWTRWealth Strength IndexAAPL is Extremely Up and trending Up), Weyerhaeuser (WY)
After the close: No major announcements
UPCOMING ECONOMIC NEWS
Friday’s economic reports (EST):
GDP – 8:30am
Consumer Sentiment – 10:00am
Baker-Hughes Rig Count – 1:00pm
METALS / OIL
Gold closed at $1225.70 an ounce, down $6.10
Silver settled at $15.49 an ounce, down $0.10
Copper finished at $2.82 a pound, unchanged
Crude Oil is at $69.54 barrel, up $0.21
Bitcoin Investment Trust (GBTC) ended at $12.10 up $0.22