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Index Update

The Dow and S&P 500 posted modest gains, while the Nasdaq fell amid concerns over Trump’s steel and aluminum tariffs. Fed Chair Powell reaffirmed a cautious stance, with no immediate rate cuts planned due to resilient growth and persistent inflation. Investors now await the January CPI report, Powell’s House testimony, and key earnings from major firms.

Market Movers

On Tuesday, the top gainers were    Lattice Semiconductor Corporation (+15.07%), followed by Travere Therapeutics, Inc (+14.12%). On the contrary, Fluence Energy, Inc  (-41.01%) and Third Harmonic Bio, Inc (-29.03%) declined the most the same day.

Commodities Update

WTI crude oil futures fell below $73 per barrel, ending a three-day rise, after US crude inventories surged by 9 million barrels—far exceeding the expected 2.8 million build. Market caution grew amid trade tensions and economic uncertainty, with Trump’s steel and aluminum tariffs potentially impacting US oil drilling. However, losses were limited by concerns over Russian and Iranian oil supply disruptions due to US sanctions affecting shipments to China and India.

Macro Update

US mortgage applications rose 2.3% in early February, following a 2.2% increase, as mortgage rates dipped below 7% amid Fed rate cut expectations. Refinancing applications jumped 10%, extending a previous 12% surge, while purchase applications fell 2%, continuing a prior 4% decline.

Futures Update

US stock futures remained steady as investors awaited the latest consumer inflation data. Bitcoin traded at $96,186 on February 12, up 0.47% from the previous session. It gained 1.94% over the past month and surged 94.07% over the past year.

After a rebound during Monday's session, stocks experienced fluctuations throughout Tuesday's trading day. The major indices wavered around the neutral line as the day progressed, ultimately closing with mixed results. The Nasdaq fell by 70.41 points, or 0.4%, finishing at 19,643.86, while the S&P 500 edged up 2.04 points, or less than 0.1%, to close at 6,068.49. The Dow, on the other hand, increased by 123.24 points, or 0.3%, reaching 44,593.65. From a technical perspective, the S&P 500 faced resistance at key levels, resulting in a mild downward trend and increasing the likelihood of a short-term pullback. The Relative Strength Index (RSI) is hovering around the midpoint, indicating that such a decline is possible. Market analysts are closely monitoring significant price levels, with $6,100 identified as a potential resistance point and $5,900 as a support level.

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