Why Did Stocks Hit New Highs?
Why Did Stocks Hit New Highs?: Start a free trial of The Sevens Report.
What’s in Today’s Report:
- Why Did Stocks Hit New Highs?
- Weekly Market Preview: Major Tech Earnings and Wednesday’s Fed Decision
- Weekly Economic Cheat Sheet: Fed Wednesday (Do They Push Back on Pause Fears?)
Futures are sharply lower (down more than 2%) on AI and tariff concerns.
Tech stocks are extremely weak (Nasdaq futures are down 4%) on news that a Chinese AI company “Deep Seek” has produced cutting edge AI with minimal costs and no next-gen chips, and this is seriously undermining AI enthusiasm.
Geopolitically, Trump threatened Colombia with tariffs over the weekend and while they ultimately weren’t implemented, it’s a reminder that trade volatility is back.
Today there is only one notable economic report, New Home Sales (E: 669K) and that shouldn’t move markets. Instead, tech (and specifically the Mag 7) will lead the markets and for stocks to rebound from these steep early losses, we’ll need to see the Nasdaq stabilize and rebound, otherwise this is looking like an ugly day in the markets.
Join thousands of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.
