Day Traders Diary

7/30/24

The major averages closed mixed head of earnings from a number of megacap tech stocks.The Dow Jones Industrial Average climbed 203 points, or 0.5%, to 40,743. The S&P 500 l lost 27 points while the Nasdaq Composite fell 222 points or 1.28%.

Nvidia pulled back by 7%, its lowest close since mid-June. Microsoft fell a percent and then 3% after the close following earnings. Only Apple and Google were modestly higher today.

The earnings season is about halfway through for the S&P 500. Of the 240 S&P 500 names that have reported, about 80% have beaten earnings expectations, according to data from FactSet.

The Fed's two-day policy meeting began Tuesday, with investors hoping Chair Jerome Powell will signal the timing and number of rate cuts expected in the next few months. Traders have priced in a 100% chance for a September rate reduction, according to the CME FedWatch Tool.