Day Traders Diary

9/5/24

The major averages closed mixed again with the weakness due to economic data and the pending monthly jobless claim report out tomorrow. The Dow Jones Industrial Average fell over 200 points after dropping more than 300 points earlier. The S&P 500 fell 20 points while the Nasdaq clung to modest gains.  

Bond yields were modestly lower following the ADP private payrolls report this morning that showed a rise of just 99,000 in August, the smallest gain since 2021, below the consensus forecast of 140,000 from economists polled by Dow Jones. The markets have been hypersensitive to potential growth scares in recent weeks.

Tech tried to rebound today led by a 4% rally by Tesla on self-driving news and an upgrade at Morgan Stanley. All the big cap tech stocks were higher except for Microsoft.

On the merger front, Frontier Communications was down 8% after Verizon said it would buy the company in a $20 billion deal valuing it below Wednesday's close. Sounds like a take under. Topgolf Callaway was lower after announcing thew company will be split into two. A reverse merger.

In the commodity space oil rebounded after getting slammed yesterday as OPEC + said they would delay production boosts due to a lack of demand. Gold was modestly higher, remaining near all-time highs as Bitcoin took a hit, down 2%.

Today's mixed results follow yesterday's mixed results following a rout on Tuesday on weak economic data. All three averages are down for the week.