Stock Market Summary
Monday, June 29, 2015
- The major market indices finished lower for the week, short circuiting an advance that appeared to be setting the S&P 500 and the Dow Jones Industrial Average for a move to further all-time highs.
- The Nasdaq Composite and the Russell 2000 Index hit all-time highs on Monday and Tuesday before they began a pullback for the remainder of the week.
- As of Friday’s close, the Nasdaq Composite has shown the best gain for the month, followed by the Russell 2000. The S&P 500 and the Dow Jones Industrial Average have continued to lag with both sporting a loss for the month.
- The Dow Jones Transportation Average has struggled all year and is down nearly ten percent year to date. This has frustrated Dow Theorists who prefer to see the Dow Jones Industrial Average and the Dow Jones Transportation Average move together. The Dow Jones Industrial Average recorded an all-time high in the middle of May, while the Dow Jones Transportation Average recorded an all-time high in November 2014.
- The second quarter earnings season will be upon us in a few weeks with expectations of reports showing earnings growth, but not way above forecasted levels. The only real concern for the upcoming earnings season is how much damage did the stronger U.S. dollar do to multinational companies’ earnings.
- The S&P 500 has been trading in a tight trading range since early February. Currently, that range is 2070 – 2130. The index closed just below 2102 on Friday.
- The intermediate market bias remains positive for the stock market.
Sources: bankrate.com, bloomberg.com, briefing.com, Dow Jones News, Financial Times, finviz.com, Investor's Business Daily, marketwatch.com, seekingalpha.com, Thomson Reuters/First Call, U.S. Dept of Treasury, yahoo.com and individual company web sites and press releases.
Leonetti & Associates, LLC views or opinions are as of a certain date and subject to change without notice. The material contained herein is for informational purposes only and obtained from sources we consider reliable. We make no guarantee as to its accuracy or completeness. References to specific securities and industries/sectors should not be considered recommendations to buy or sell any security or advisory service. Past performance is not a guarantee of future results.