Image Souce: Krish Capital Pty Ltd

Index Update

The Dow surged 304 points to a new high of 44,293, continuing its post-election rally on optimism around Trump’s return and expectations for deregulation & tax cuts.

Market Movers

Financial stocks gained, with Bank of America (+2.1%), Goldman Sachs (+2.2%), and JPMorgan (+0.9%). Tesla soared 9% for its 5th consecutive gain, reaching a 2-year high. Crypto stocks like Coinbase (+19.7%) and Mara Holdings (+29.9%) jumped as Bitcoin topped $86K. However, tech stocks like Apple (-1.2%) and Nvidia (-1.6%) faced losses

Commodities Update

Brent crude oil dips below $72/bbl, extending losses from a 2-day plunge as bearish demand outlook weighs on prices. China’s stimulus efforts fall short, and weak inflation fuels concerns. US dollar strength from Trump’s re-election pressures oil & gold prices, with #Gold falling to $2,600/oz. OPEC’s market report drops today—expect insights on 2025 demand. Investors eye fiscal policies & potential inflation as risk assets gain favor. Gold ETFs in India hit record 54.5 tonnes.

Futures Update

US stock futures were little changed on Tuesday after a strong start to the week, with major indices hitting all-time highs. The rally, fueled by optimism around Trump’s potential return and promises of deregulation, saw Tesla surge 9% and Bitcoin-related stocks like Coinbase and MicroStrategy jump. However, some tech giants, including Nvidia, Microsoft, and Apple, underperformed. Investors are now eyeing remarks from Fed officials and earnings reports from Home Depot and Shopify for market direction.

Macro Update

Germany’s ZEW Indicator of Economic Sentiment fell to 7.4 in November, down from 13.1 in October and below expectations, weighed down by Trump’s victory and the collapse of the German government coalition. The current economic conditions also worsened, declining to -91.4. ZEW President Achim Wambach noted that while US economic expectations are rising, sentiment for China and the eurozone is falling. Despite this, some optimism remains, with hopes that Germany’s economy may improve if snap elections are called. The outlook remains dynamic as expectations continue to evolve. 

The broader index of the United States S&P 500 Index traded at all-time high.  The index traded above long-term as well short-term crucial support levels of 200-day, 100-day, 50-day and 20-day EMAs with momentum indicator 14-D RSI closed at 69, implies strong bull trend in the broader market. From the Fibonacci Retracement standpoint the next resistance is around 6460 -6500 range and  immediate support around 5,900 – 5,924.

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