Inflation Eases as Market Maintains Momentum

August 11, 2021 By: Todd Mitchell

The stock market was mostly higher on Wednesday following news U.S. inflation growth may have peaked. Specifically, the consumer price index increased 0.5% last month after rising 0.9% in June, the largest drop for inflation data in 15 months.

This helped ease concerns about the potential for runaway inflation with the broader market and the blue-chips setting another round of record highs. Tech struggled after falling for the third time in four sessions while volatility eased for the first time in three sessions.

The Dow finished at 35,484 (+0.6%) after tapping a record high of 35,501. Fresh and key resistance at 35,500 was cleared but held. A close above this level would indicate additional upside towards 35,750-36,000.

The Russell 2000 ended at 2,250 (+0.5%) and the session peak. Key resistance at 2,250 was recovered. Continued closes above this level and the 50-day moving average would suggest a retest towards 2,275-2,300. 

The S&P 500 kissed a lifetime high of 4,449 shortly after the opening bell before settling at 4,447 (+0.3%). New resistance at 4,450 was challenged but held for the second-straight session. A pop above this level would signal ongoing strength towards 4,475-4,500.

The Nasdaq closed at 14,765 (-0.2%) after trading to an intraday low of 14,692. Key support at 14,750 was breached but held. A close below this level would likely lead to a further pullback towards 14,650-14,500.

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ANALYST UPGRADES/DOWNGRADES

Array Technologies (ARRY) upgraded to Buy from Neutral at Roth Capital
Dine Brands (DIN) upgraded to Buy from Hold at Deutsche Bank
Public Storage (PSA) upgraded to Outperform from Market Perform at Raymond James

Axsome Therapeutics (AXSM) downgraded to Equal Weight from Overweight at Morgan Stanley
Beacon Roofing (BECN) downgraded to Hold from Buy at Jefferies
SmileDirectClub (SDC) downgraded to Underweight from Neutral at JPMorgan

THURSDAY'S EARNINGS ANNOUNCEMENTS 
Before the open: ​​Advent Technologies (ADN), Baidu (BIDU), Canadian Solar (CSIQ), Docebo (DCBO), Elbit Systems (ESLT), GoodRx Holdings (GDRX), Hut 8 Mining (HUT), InfuSystems Holdings (INFU), Middleby (MIDD), Nortech Systems (NSYS), Organon (OGN), Palantir Technologies (PLTR), Sotherly Hotels (SOHO), Trevena (TRVN), Utz Brands (UTZ), Veru (VERU), Wheels Up (UP)

After the close: ​Airbnb (ABNB), BioLife Solutions (BLFS), ContextLogic (WISH), DoorDash (DASH), Everspin Technologies (MRAM), Flowers Foods (FLO), Globant (GLOB), Hydrofarm Holdings (HYFM), Iridex (IRIX), Luminar Technologies (LAZR), MediaAlpha (MAX), NeuroPace (NPCE), One Stop Systems (OSS), Progenity (PROG), Rocket Companies (RKT), SoFi (SOFI), Tattooed Chef (TTCF), Viavi Solutions (VIAV), Walt Disney (DIS), Zipcar (ZIP)

THURSDAY'S ECONOMIC NEWS
Jobless Claims - 8:30am
Producer Price Index - 8:30am

METALS/ OIL
Gold closed at $1,753.30 an ounce, up $21.60
Silver settled at $23.49 an ounce, up $0.10
Copper finished at $4.37 a pound, up $0.02
Crude Oil was at $69.37 a barrel, up $1.00
Bitcoin Investment Trust (GBTC) ended at $38.87 up $1.07

I hope this helps you prepare for the trading day. Make it a great one!

 Todd Mitchell

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The stock market was mostly higher on Wednesday following news U.S. inflation growth may have peaked. Specifically, the consumer price index increased 0.5% last month after rising 0.9% in June, the largest drop for inflation data in 15 months.

This helped ease concerns about the potential for runaway inflation with the broader market and the blue-chips setting another round of record highs. Tech struggled after falling for the third time in four sessions while volatility eased for the first time in three sessions.

The Dow finished at 35,484 (+0.6%) after tapping a record high of 35,501. Fresh and key resistance at 35,500 was cleared but held. A close above this level would indicate additional upside towards 35,750-36,000.

The Russell 2000 ended at 2,250 (+0.5%) and the session peak. Key resistance at 2,250 was recovered. Continued closes above this level and the 50-day moving average would suggest a retest towards 2,275-2,300. 

The S&P 500 kissed a lifetime high of 4,449 shortly after the opening bell before settling at 4,447 (+0.3%). New resistance at 4,450 was challenged but held for the second-straight session. A pop above this level would signal ongoing strength towards 4,475-4,500.

The Nasdaq closed at 14,765 (-0.2%) after trading to an intraday low of 14,692. Key support at 14,750 was breached but held. A close below this level would likely lead to a further pullback towards 14,650-14,500.

EARN 58% & MORE Per Trade On Average & Risk 91% LESS Doing It!

Potentially EARN 6,438% More Per Year By Defying All Of the Regular, Ordinary, Common, Boundaries & Restrictions On  Trading & Investing (like our model portfolio)…

…With Speed, Convenience, & FREEDOM!…& Risk As Little As $300 & NEVER Own A Single Stock or ETF!

Go Here to Learn More…

ANALYST UPGRADES/DOWNGRADES

Array Technologies (ARRY) upgraded to Buy from Neutral at Roth CapitalDine Brands (DIN) upgraded to Buy from Hold at Deutsche BankPublic Storage (PSA) upgraded to Outperform from Market Perform at Raymond JamesAxsome Therapeutics (AXSM) downgraded to Equal Weight from Overweight at Morgan StanleyBeacon Roofing (BECN) downgraded to Hold from Buy at JefferiesSmileDirectClub (SDC) downgraded to Underweight from Neutral at JPMorgan

THURSDAY’S EARNINGS ANNOUNCEMENTS Before the open: ​​Advent Technologies (ADN), Baidu (BIDU), Canadian Solar (CSIQ), Docebo (DCBO), Elbit Systems (ESLT), GoodRx Holdings (GDRX), Hut 8 Mining (HUT), InfuSystems Holdings (INFU), Middleby (MIDD), Nortech Systems (NSYS), Organon (OGN), Palantir Technologies (PLTR), Sotherly Hotels (SOHO), Trevena (TRVN), Utz Brands (UTZ), Veru (VERU), Wheels Up (UP)

After the close: ​Airbnb (ABNB), BioLife Solutions (BLFS), ContextLogic (WISH), DoorDash (DASH), Everspin Technologies (MRAM), Flowers Foods (FLO), Globant (GLOB), Hydrofarm Holdings (HYFM), Iridex (IRIX), Luminar Technologies (LAZR), MediaAlpha (MAX), NeuroPace (NPCE), One Stop Systems (OSS), Progenity (PROG), Rocket Companies (RKT), SoFi (SOFI), Tattooed Chef (TTCF), Viavi Solutions (VIAV), Walt Disney (DIS), Zipcar (ZIP)

THURSDAY’S ECONOMIC NEWSJobless Claims – 8:30amProducer Price Index – 8:30am

METALS/ OILGold closed at $1,753.30 an ounce, up $21.60Silver settled at $23.49 an ounce, up $0.10Copper finished at $4.37 a pound, up $0.02Crude Oil was at $69.37 a barrel, up $1.00Bitcoin Investment Trust (GBTC) ended at $38.87 up $1.07

I hope this helps you prepare for the trading day. Make it a great one!

 Todd Mitchell

Not sure the best way to get started?Follow these 3 simple steps …

Step #1: Get These FREE Reports & VideosOptions INCOME  Profits   8 Video  Series    Habits that Kill Traders…

Step #2: Enroll in an Advisory or Educational ProgramPremium Advisories | Featured  Educational  Programs 

Step #3: Connect with The CommunityTrading Concepts Official Facebook Page