Daily Market Wisdom with Nick Santiago

1. It is Veterans Day today so I'd like to say thank you to all of our veterans. We should always remember that the freedoms that we have in this country are because of their bravery and efforts.   2. Markets are up slightly today. The NASDAQ Composite is the strongest of the major indexes this morning trading up 1.25%. Over the past few sessions the NASDAQ has been weak. So this bounce in the tec...

1. Money continues to rotate out of technology today. The tech heavy NASDAQ Composite is currently down by more than 1.3%.There is some major selling taking place in market leaders such as Amazon, Facebook, Microsoft, Alibaba, and numerous cloud software stocks. The good news is that we are still seeing some money flow into energy and retail stocks.   2. Yesterday, the big banks had a huge day. It...

1. The big news today was the announcement from pharma giant, Pfizer, that they have a 90% effective vaccine against the Covid 19 coronavirus. This news has sent the futures soaring today ahead of the opening bell. The travel sector is flying off the charts this morning on the back of the news. airlines, hotels, and even retail stocks are surging on the back of the news. The vaccine will be ready...

1. The October Nonfarm Payrolls number was +638K vs. expectation of +570K. The October Unemployment Rate dropped to 6.9% from 7.9%. This was a good report overall and positive for the economy. 2. Markets are stalling out today. Small declines across the board. Market has had a huge rally the past 4 days. The S&P has gone from 3250 -3500. How long can it go on for. Could go on to Thanksgiving or Ch...

1. Markets are continuing to rally again today. The move since November 2nd has been explosive and the October highs are now being tested. The volume has been heavy on this move up so this will usually last a bit longer. No real problems, rally to continue 2. The election results are still not in yet and this is still a factor for stocks in the near term. More importantly, even if President trump...

1. Another election that is likely going to the Supreme Court. I would love to say that I'm surprised, but I'm not. This was destined to be like this and here we are.  2. Markets are mixed today. The tech heavy NASDAQ is having a big morning with lots of upside. Perhaps the markets are looking at gridlock as the Senate is likely to stay Republican. Tech up over 3%. Cap goods are getting hit. Still...

1. Russell 2000 leading the rally up 2.9%. Dow +550. S&P up 59. Energy a little bit on the soft side. All the major oil companies were weak. Last month the Russell 2000 was the only index up for the month. It held up the best which is a great indicator, on it’s way up to 1700 plus. Markets are not embracing Biden as president. No one is excited about his fiscal policy. 2. $5 million bet on Trump $...

1. Markets finished nicely higher today. The major stock indexes all finished higher by more than 1.0% with the exception of the tech heavy NASDAQ Composite. That was negative for most of the afternoon, but caught a bid in the final ten minutes of the session. It closed up 0.42% by the close. Russell up 1.78%, when it does well it’s a positive going into the election. 2. Financial stocks and energ...

1. Markets are trading lower again today. Bouncing off of the lows. Nasdaq big loser. Last night, the mega-cap tech stocks such as Apple (AAPL), Amazon (AMZN), Facebook (FB) and Alphabet (GOOG) reported earnings. While the numbers reported by big tech were decent it is not helping the stocks right now. Google is the only one going up, all the others are down. This is setting the tone for today. Th...

1. There was lots of economic data out this morning. The big news was the soaring GDP report which posted a Q3 GDP increase by an annualized rate of 33.1%. This number was slightly better than expected. It also shows what can happen if you open up the economy. Today we’re getting a rebound. 3 more trading days till election is over. The weekly initial claims report also was better than expected wi...

Will Smith & Wesson Win The Election? Nick Santiago 10-28-20 #148 1. Markets start the session weak again. Obviously, the talk from the financial media is about the rising virus cases in Europe and the United States. Personally, I think this is really all about the election. There is now less than a week to go before the election and new revelations about the Biden family continue to emerge. Marke...

1. Traders and investors should expect the unexpected over the next week as we head into the elections. There could be some erratic market moves and lots of geopolitical events taking place over the next 7 days. Remember, 2020 has been one of the most chaotic trading years in history and the election is really just the cherry on top of the sundae.  Market sold off yesterday but came back at the en...

1. Markets down big on the back of 2nd European Covid Wave. Markets are down 2.5 % except for Nasdaq 1.7%, S&P 500 down over 2%. Hospitalizations are up. Caution going into the election. All election induced. How long with the post-election chaos last for? Probably the most divided time for our country since the Civil War. Hopefully people will wake up. Biden’s campaign is flagging. He’s unintelli...

1 .Stimulus and markets, we only have 12 days before the election and Mnuchin says there’s significant differences. Perhaps the President will just do some executive orders. Covid rising but deaths are not. 2. Debate may have had some affect on markets. Thing were revealed, no more petroleum industry. Good showing for Trump. Moderator did a good job. Learning more and more about Biden’s misdeeds....

1. Markets still do not have clarity on the $2 trillion stimulus deal. So we are still handcuffed to headline risk. One minute we hear a deal is close and then it is far apart an hour later. Time is running out to get a deal done before the election. Will Trump do an executive order for $1200 in rebates? 2. The weekly initial claims report was released this morning. The report showed 787,000 new c...

1. The stimulus bill negotiations will be front and center again today. Earlier today, White House Chief of Staff Mark Meadows said he is hopeful to get some kind of stimulus deal over the next 48 hours. We shall see. I think we have heard this before. The markets are now looking forward to a $2 trillion stimulus package. I will take my $1200 and fund a RobinHood account. Odds are good that it’s g...

1. Last night, I saw that the rapper, 50 Cent, is now endorsing President Trump due to the Biden tax plan. Many people are looking at this very closely. I have mentioned this on the show numerous times. People making over 400K a year are going to be hammered with a 16% tax increase. That plan would crush small businesses and many entrepreneurs. Plus, if the corporate tax rate is changed to 28% fro...

Nick Santiago 10-19-20 #140 1. Pelosi puts the kabosh on stimulus. Markets reversed and sold off. Around 2:30 WaPo said no stimulus. Nick thinks they’re gonna try to get something done. Politicians never miss an opportunity to give money away, especially before the election. Volume was very light. 66 million shares on the SPYDR’s. S&P down by 56, Dow over 400. Time is ticking away. $1.8 trillion....

1. Today is options expiration for October. This is usually a quiet session after the first couple of hours of trading. Next week, the markets get back to real trading action as most of the institutional game playing is over. Nick’s favorite day of the week. Next week it’s back to normal. 2. Right now, the major stock indexes seem to be holding up really well, but there is election risk that is st...

1. The Weekly Initial Claims Report was 898K, this increased by 53,000. The expectations were for 830K. Continuing claims decreased to 10.018 million from a revised count of 11.183 million. Continuing claims are heading down. Cuomo says that lockdowns aren’t based upon science, they’re based upon fear. 2. Markets have been pulling back a bit since Monday. If you recall, the market rallied on Monda...

1. Yesterday, the major stock indexes pulled back after a rally on Monday. Please understand, this is an options expiration week. Often after a Monday rally the markets will do a lot of backing and filling throughout the rest of the week. There is also always a lot of game playing by the big institutional traders this week in the popular stocks. Russell 2000 showing leadership. September sell-off...

1. Markets seem to be doing some backing and filling after yesterday's rally. Often, when the market rallies on a Monday they will often pull back and chop around throughout the week. This Friday is also options expiration for the month of October. That tells me that we must expect some institutional game playing in the popular stocks.  2. Earnings season kicked off today with JP Morgan Chase (JPM...

1. The tech heavy NASDAQ Composite is the big winner this morning. Today is Columbus Day in the United States, so volume trends should be light overall. It is also Thanksgiving Day in Canada, so that will keep volume a bit lighter as well. 11,700. 2. This Friday is options expiration for the month of October. Often, options expiration is filled with a lot of whipsaw in the popular stocks. I always...

1. The Initial Claims report was released this morning. The number was 840,000 new claims. Continuing claims for the week ending September 26 decreased by 1.003 million to 10.976 million from an upwardly revised 11.979 million in the prior week. This is still slow going. but it is moving in the right direction. If these governors in the blue states would open up it would get better much sooner. Th...

1. Everyone is talking about the debate tonight between Vice President Pence and Kamala Harris. This could move markets a bit, but I think it will be more entertainment than anything else. 2. The major stock indexes are trying to recover this morning. Yesterday afternoon, the markets suffered a big sell-off after President Trump told Mitch McConnell to focus on the Supreme Court Justice nominee an...