Naive Trader

Retail Sales jumped 0.7% in September compared to analysts’ expectation for a decline. That gave a massive boost to Consumer Discretionary stocks while the Financial sector topped a week of positive earnings reports with a huge beat from Goldman Sachs.

Even today’s worst-performing sector gained over one percent, marking a very bullish day with gains broad across the market. The Nasdaq had a 1.4 advance/decline ratio , while the New York Stock Exchange recorded a ratio of 3.6 advancers to decliners.

Investors moved past inflation data to mark a day of gains in the market, but caution was present with defensive sectors outperforming. There were no surprises in the Fed’s meeting minutes that confirmed a start to bond purchase tapering in November.

Soaring oil prices, supply chain disruptions, and bond tapering have investors buying up the US dollar while causing downward pressure on mega-caps stocks. Small caps led on Tuesday while big technology stocks declined.

Markets moved lower after payrolls data missed expectations. Energy stocks led the day following Crude Oil Futures higher, while Financial stocks did well on rising interest rates.

A deal over raising the debt-ceiling eased investor worries and sent markets higher on Thursday. The rally included broad gains across the market, with small caps and growth stocks leading the way.

Markets rebounded from early morning losses after a deal to lift the debt ceiling until December made investors more optimistic. Defensive sectors led the day, indicating some nervousness still exists in the market.

Stocks bounced higher following days of selling in big tech and growth stocks. While economic indicators are looking positive, fears still loom over the debt ceiling debate in Washington.

Rising Treasury Yields in the morning had investors exiting positions in Big Tech and Growth stocks, sending indexes lower for another day. However, OPEC held its position on a gradual increase in output despite an energy crunch, and they are still predicting higher demand in the coming months.

Markets fell in the morning before bouncing and closing higher as investors returned to reopening trades and went hunting for discounts in the growth sectors.