Saturday 31 December 2022

Weekend update - US equity indexes

It was a bearish month for US equity indexes, with net December declines ranging from -8.7% (Nasdaq comp'), -8.6% (Trans), -6.5% (R2K), -5.9% (SPX), -4.2% (Dow), to -3.8% (NYSE comp').

It was a bearish year for US equity indexes, with net 2022 declines ranging from -33.1% (Nasdaq comp'), -20.4% (R2K), -19.4% (SPX), -18.7% (Trans), -11.5% (NYSE comp'), to -8.8% (Dow).

Lets take our regular look at six of the main US indexes

sp'500

Nasdaq comp'


Dow

R2K

NYSE comp'

Trans

Summary

All six US equity indexes settled net lower for December. The Nasdaq comp' lead the way lower, whilst the NYSE comp' was most resilient. All six indexes have negative monthly momentum. Five indexes are under their monthly 10MA, the exception being the Dow.

All six US equity indexes settled net lower for 2022. The Nasdaq comp' lead the way lower, whilst the Dow was most resilient.

The SPX, Dow, and NYSE comp' broke new historic highs... all in January.

Looking ahead

It will be a short four day trading week, with Monday CLOSED.

Earnings: -

-

Econ-data/events

M - *CLOSED*

T - PMI manu', construction

W - ISM manu', JOLTS, vehicles sales, FOMC mins (2pm)

T - ADP jobs, Weekly jobs, intl' trade, PMI serv'

F - Monthly jobs, ISM serv', factory orders

-

Final note

The year settled on an appropriately bearish note. Whilst the mainstream cheerleaders and 'inflation is transitory' smart guys are hopeful 2023 will be better, the outcome is likely to be rather different.

It should be clear, 2022 never saw any panic or associated capitulation. This past year has merely seen equities stair step lower.

If I'm right about anything in 2023, it should be that we'll see panic and capitulation. I'd accept not all bear markets see it, but most do.

Perhaps the only thing to ask is... do you have enough popcorn and drinks for the big show?

For the latest offers, see: https://www.tradingsunset.com

Have a good weekend
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*the next post on this page will likely be the monthly/yearly settlements for ten of the World equity markets (due Sunday).