Market Notes for 5/4-5/8
Market Notes for 5/4-5/8
Market Notes for 5/4-5/8
SPX closed Friday at a fresh all-time high of 7,230.12, capping a fourth straight strong week and one of the most consequential earnings/Fed weeks of the year. The S&P finished April with a +10% monthly gain, the best calendar month for the index in five years. VIX collapsed to ~16.99 by Friday’s close, which is now below the 200DMA and at the lowest reading since February. Since the March 30 low, SPX has rallied ~1,000 points in a near-vertical move, one of the cleanest V-shapes in the post-COVID era.
Economic Calendar this week: The macro calendar lightens considerably after last week’s deluge — but Friday’s NFP is delayed-month payrolls and will carry outsized weight given Fed positioning.
Monday 5/4 — Quiet open. Factory Orders (March) and Durable Goods Orders final at 10:00 AM ET.
Tuesday 5/5 — S&P Global Services PMI final at 9:45 AM, then ISM Services PMI (April) at 10:00 AM ET. ISM Services has been the most reliable read on the consumer/services side; March came in at 54.0, marking 21 straight months of expansion. With energy prices passing through, the prices-paid component matters as much as headline. Services has been the buffer keeping the broader economy out of contraction even as manufacturing softens.
