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Afternoon Note

Netflix Delivers

By Karina Hernandez, Senior Research Analyst
10/18/2024 1:26 PM

Most indices are relatively higher today, with the Nasdaq Composite leading the way again, up 0.49%. Quarterly results continue to be the main focus and will continue to be next week, with Tesla (TSLA) taking the center stage.

Only two sectors are in the red with the biggest loser being Energy (XLE). Communication Services (XLC) takes the lead, up 0.8%, after Netflix (NFLX) posted earnings that beat both earnings and revenue.

The downward movement in Energy (XLE) comes as oil once again dips below the critical $70 level.

On a similar note, Gold is also having a strong performance today, up 0.9%.

Market breath is decidedly positive, as up volume dwarfs down volume, new highs continue to far outpace new lows, and there are more advancers than decliners.

Market Breadth

NYSE

NASDAQ

Advancers

1,511

2,335

Decliners

1,211

1,700

New Highs

154

153

New Lows

10

36

Up Volume

816.01 million

2.02 billion

Down Volume

555.62 million

691.73 million

The Fear & Greed Index is right on the edge of flipping to Extreme Greed.

Fed Governor Weller made comments today indicating a slower rate cut pace with more caution.

"While we do not want to overreact to this data or look through it, I view the totality of the data as saying monetary policy should proceed with more caution on the pace of rate cuts than was needed at the September meeting" - Christopher Waller

On the economic front, September Housing plunged, but single-family homes are still being built. Completion surged related to Starts and Permits, helping clear the backlog.


 

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