US equity indexes mostly closed broadly higher, SPX +39pts (1.0%) at 3998. Nasdaq comp’ +1.4%. Dow +0.5%. The Transports settled -0.4%. R2K +0.5%.
sp’daily5
nasdaq comp’
r2k
transports
Summary
SPX: the fourth day higher of five, settling +1.0% to 3998. The third close above the 50dma. Teal gap set to be fully filled. I’d note the 200dma at 4356, and that will be around 4300 in late Aug’/early Sept’
NAS: fifth day higher of six, settling +1.4% to 12059. Big target… 13K.
R2K: fourth day higher of five, settling +0.5% to 182.47. Green gap almost filled. S/t bullish into the Fed.
Trans: the laggard to the main market, settling -0.4% to 13865, as airlines and shippers got whacked.
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VIX’daily
The VIX was ground lower for the sixth day of seven, settling -3.2% to 23.11. Momentum ticked lower, and is on the moderately low side.
The Fed, and arguably more so… Thursday’s (recessionary) GDP data will be the excuse for a spike in volatility (soft target 30), and an equity washout to the low sp’3800s.
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Looking ahead by 6pm EST