Stock Market Watch For the Week of July 1st

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The S&P 500 is starting the second half of 2019, just liked it closed the first-half, red-hot.

Over the weekend it was announced that the U.S. and China have come to terms on a trade truce (G-20 Summit). This adds to an already bullish picture for stocks, it’s expected that the Fed will cut interest rates this month, the first time in a decade.

Here are some notes going into the second-half of 2019

  • The S&P 500 had the best June performance since 1955, gaining 6.9%
  • Traders are pricing in a 100% chance of a rate cut in July
  • Gold prices closed above $1400 per troy ounce
  • Bitcoin is back above $10K, and is trending higher
  • IPO Madness: Uber, Lyft, Beyond Meat, and Zoom Video are among the top names

That said, the VIX, the market’s fear index, appears to be headed lower again.

graph
Source: Yahoo

Here are how some of the most actively traded index ETFs performing over the week: SPDR S&P 500 ETF (SPY) -0.34%; iShares Russell 2000 ETF (IWM) +1.01%; SPDR Dow Jones Industrial Average ETF (DIA) -0.47%; Invesco QQQ Trust (QQQ) -0.97%

Here is how some of the most actively traded commodity and interest rate ETFs performed: United States Oil Fund (USO) +0.58%, iShares 20+ Year Treasury Bond (TLT) +1.05%, SPDR Gold Shares (GLD) +0.92%

Economic Releases:
1 July 2019- ISM Manufacturing 10:00 AM ET

3 July 2019- International Trade 8:30 AM ET; Jobless Claims 8:30 AM ET; EIA Petroleum Status Report at 10:30 AM ET

5 July 2019- Employment Situation 8:30 AM ET

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