Day Traders Diary

7/1/24

The major averages swung into the green to close higher to start the month of July and the second quarter with modest returns as investors await economic data at the end of the holiday week and second quarter earnings over the next several weeks. The Dow Jones Industrial Average rose 68 points. The S&P 500 rose 17 points. The Nasdaq rose 156 points. The Nasdaq notched its third positive quarter in a row for the first time since a five-quarter streak ending in 2021.

The rally in the Nasdaq was led by big cap tech minus the AI chip stocks. Apple, Amazon and Microsoft are all up a percent or more. Chip darling, Nvidia was modestly higher to start the quarter. AMD and Super Micro were lower.

U.S. treasury yields increased Monday as investors look forward to key economic data to be released this week and examined the latest inflation data. The 10-year treasury yield is up 14 basis points at 4.483%. The 2-year treasury yield is up 7 basis points at 4.791%. Last Friday the personal consumption expenditures price index showed that inflation slowed to its lowest annual rate in over three years in May. Core PCE was reported in line with the previous Dow Jones estimates and headline inflation was also in line with forecasts.