00:00 Speaker A
This is not your grandfather’s sleepy Friday market here. Check this out. You said the Dow was up 1.8%. Let’s check out the intraday price action. Before the market opened, we got this nice bump off of uh some straight of Hor headlines and you can see it’s up 1.81%. been in the green all day, just gapped up and it’s been hanging out near the top.
00:16 Speaker A
Very similar situation for the Nasdaq up a little bit less. S&P 500 even less, but still over 1% and the Russell 2000 small caps had been lagging this week. It was more about some of the Mag 7 and some of the bigger ones, but today the small caps are outperforming.
00:27 Speaker A
And I mentioned the Mag 7, so let’s just show you what they’re doing. up 1.5%. Dow transports nearly 3% and that is another record high. And then you take a look at what’s happening with the chip stocks. I think this is day number eight that they have been hitting record number highs and uh they’re also up 13 straight days. as is the S&P 500, as is the Nasdaq.
00:44 Speaker A
Lots of stats to keep tracking of in my head, but somebody’s up another 2% today. I’ll just show you for the five days, they are up 7%. And software, up even more, 13.6%. So software is a come from behind story this week. I’m going to delve into that in a little bit. Uh, but let’s check out the VIX first. You can see the VIX down to 17 at the lows of the week. That is definitely moving in the right direction.
01:03 Speaker A
And we can also see that Treasury yields, 10-year T-note yield down six basis points to 4.25%. The big move came this morning before the stock market opened. that was still off of that Straits of Hormuz uh opening headline. US Dollar Index has been down nine of the last 10 days. It is down again today. That is really shaped this risk rally and supported it.
01:20 Speaker A
Meanwhile, Bitcoin, it is up uh 8% this week to 77,300 and that is a two and a half month high. I know you’re going to be talking to somebody about that in a little bit, Josh.
01:28 Speaker A
First, let me get to our large cap sector action. This is what happened today. Consumer discretionary in the lead up two and a half percent, then you have industrials up two 2%, then healthcare, tech, staples, all of those up more than 1%.
01:37 Speaker A
To the downside, we got energy and utilities. Uh energy down nearly 3%. That’s as crude oil kind of crashed down to about uh by about 10%. Let’s show you what happened this uh today in Mag in the Nasdaq 100.
01:48 Speaker A
And here we see a lot of green in the Mag 7. Tesla up 3%. That’s another come from behind story this week. Apple up two and a half, Alphabet as well. And here’s the let me just show you the five-day price action where you can see Tesla up 15%. uh and that is the leader of the Mag 7 group. So nice out performance there by Tesla.
02:02 Speaker A
Uh, I do want to delve into software. and I’m going to show you what happened this week and you can see if I sort by performance, you’ve got a lot of outsized winner. Oracle with some new contracts are up 25%, Ring Central and Unity uh up about two uh 20%, Snowflake and Datadog and Shopify just behind them. Uh it really goes down on the list here.
02:18 Speaker A
Now, I do want to show you what’s happened on happening on the 13 day because this rally began 13 days ago. We’ve still got a lot of software stocks in the red off of that. And I’m going to show you one scary chart, one scary heat map before I go. This is how far each of these software names are off their 52-week highs. So everything by red is going to be red just about by definition.
02:30 Speaker A
EA is just slightly off. That’s a that’s a merger and acquisition story. Cisco is pretty close to its highs. But check out the bottom row here. We got Atlassian down 70%, uh hubspot 67, Zscaler uh 60%, Thompson Reuters 57. So a lot of these are still broken stocks. It’s nice to see the rally here. It’s nice to see software leading, but it’s going to be a big test for the market overall if they can continue this into the coming week.