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Index Update
U.S. stock futures advanced on Black Friday, signaling potential monthly gains across major Wall Street indices as the holiday shopping season commenced. At 07:06 a.m., Dow E-minis gained 0.38%, S&P 500 E-minis rose 0.30%, and Nasdaq 100 E-minis climbed 0.33%. The small-cap Russell 2000 index outperformed with a 1% increase. The benchmark S&P 500 is on track for its largest monthly rise since February, while a small-cap index recently set a record high. Despite earlier losses driven by inflation concerns, optimism around Black Friday sales and retail stocks is providing a boost to market sentiment.
Market Movers
On Tuesday, the top gainers were Ulta Beauty Inc(+4.10%), followed by Walgreens Boots Alliance Inc (+3.78%) and VeirSign Inc (+3.49%). On the contrary, Dell Technologies Inc (-12.25%) and HO Inc (-11.36%) declined the most the same day.
Commodities Update
Oil prices declined on Friday, with Brent crude falling 0.6% to $72.83 per barrel and WTI dipping 0.2% to $68.68, marking weekly drops of 3% and 3.7%, respectively. Easing geopolitical tensions, particularly the Israel-Hezbollah ceasefire, reduced the risk premium in prices. Prospects of increased supply in 2025, coupled with OPEC+ deliberations on extending output cuts, weighed on market sentiment. Analysts forecast that existing production cuts may not offset the anticipated surplus, and Brent crude is projected to average $74.53 per barrel in 2025, reflecting a continued downward revision.
Futures Update
Futures trading showed positive momentum as retail stocks climbed ahead of Black Friday. Target, TJX, Walmart, and Nike posted premarket gains between 0.2% and 0.7%, reflecting strong retail expectations. While traders anticipate a 25-basis-point rate cut in December, FedWatch data suggests a pause in rate adjustments for early 2025. Crypto-related stocks also rose as Bitcoin surged 2.3% to nearly $97,000, with companies like MicroStrategy and MARA Holdings seeing notable gains. However, light trading volumes due to the Thanksgiving holiday may influence stock price movements.
Macros Update
Investor optimism surrounding President-elect Donald Trump’s policies on tax cuts, deregulation, and tariffs drove inflows of $12.78 billion into U.S. equity funds for the week ending Nov. 27. Large-cap and small-cap funds saw strong net inflows, while mid-cap and multi-cap funds faced outflows. Sectoral funds were buoyed by significant interest in financials, consumer discretionary, and technology sectors. Meanwhile, U.S. bond funds maintained steady popularity, securing $6.92 billion in net inflows. Despite the positive equity trends, money market funds experienced a net outflow of $2.37 billion, reflecting cautious repositioning by investors.

U.S. stocks closed lower on Wednesday, weighed down by declines in the Technology, Industrials, and Consumer Goods sectors. The S&P 500 fell 0.38%, and the NASDAQ Composite slipped 0.59%. Ulta Beauty, Walgreens Boots Alliance, and VeriSign were the top performers on the S&P 500, with gains of 4.10%, 3.78%, and 3.49%, respectively. On the other hand, Dell Technologies, HP Inc, and Autodesk were the worst performers, with losses of 12.25%, 11.36%, and 8.59%, respectively. From a technical standpoint, the S&P 500 remains within a rising channel, indicating potential for further upward movement. The 14-period Relative Strength Index (RSI) is still in positive territory. Key levels to watch are resistance at 6,066 and support at 5,920.






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