Stock Market Update

[BRIEFING.COM] The market is trading lower today in a broad retreat. Index-level losses are somewhat limited, though, thanks to gains in some mega cap stocks. The S&P 500 (-0.2%), Nasdaq Composite (-0.2%), and Dow Jones Industrial Average (-0.2%) are trading slightly lower than yesterday while the Russell 2000 underperforms, trading down 1.9%.

NVIDIA (NVDA 131.07, +1.45, +1.1%), Alphabet (GOOG 177.81, +1.07, +0.6%), Microsoft (MSFT 442.56, +0.98, +0.2%), and Broadcom (AVGO 1720.80, +41.81, +2.5%) are winning standouts from the mega cap space.

Gains in the aforementioned names have boosted the information technology sector (+0.2%) and the communication services (+0.4%) sector. The info tech sector is also benefitting from a big gain in Adobe (ADBE 525.31, +66.65, +14.5%).

Meanwhile, nine of the S&P 500 sectors are trading lower as many stocks decline. The Invesco S&P 500 Equal Weight ETF (RSP) is down 0.7%. The overall downside bias is related to normal consolidation activity after record closing highs this week.

Treasury yields are little changed from yesterday. The 10-yr note yield is down one basis point to 4.23% and the 2-yr note yield is unchanged at 4.69%.

Reviewing today's economic data:

• May Import Prices -0.4%; Prior 0.9%
• May Import Prices ex-oil -0.3%; Prior 0.7%
• May Export Prices -0.6%; Prior was revised to 0.6% from 0.5%
• May Export Prices ex-ag. -0.8%; Prior 0.7%
• January Univ. of Michigan Consumer Sentiment - Prelim 65.6 (Briefing.com consensus 73.0); Prior 69.1
  • The key takeaway from the report is that consumers' assessment of their personal finances slipped due to high prices and weakening incomes. That could presage some weakening spending activity.