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Daily Chart Report ? Tuesday, June 2nd, 2020

June 2, 2020

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Today’s Summary
Tuesday, June 2nd, 2020

Indices: US Stocks closed higher in today’s session with the Dow Jones Industrial Average rising 268 points or 1.05%. The S&P 500 and Nasdaq gained 0.82% and 0.59%, respectively. The Russell 2000 moved higher by 0.91%.

Sectors: All 11 sectors were positive. Energy led, gaining 2.79%. Consumer Staples lagged but still rose 0.27%.

Commodities: The July Crude Oil futures contract moved higher by 3.87% to $36.81 per barrel. Gold futures dropped 0.93% to $1,734 per ounce.

Currencies: The US Dollar Index fell for the sixth straight day, slipping 0.16%.

Interest Rates: The US 10-year Treasury yield rose to 0.689%.

Here are the best charts, articles, and ideas being shared on the web today!

Chart of the Day

If you think civil and political unrest should be slamming equities, I submit to you the year 1968https://t.co/RXQq2hF84Q

— ukarlewitz (@ukarlewitz) June 2, 2020

Today’s Chart of the Day was shared on Twitter by Urban Carmel (@Ukarlewitz). The S&P 500 has drifted higher over the past few sessions, in the face of some of the worst civil unrest we’ve seen in America in decades. Many are shocked that stocks aren’t down more, some are even angry that price isn’t confirming the grim narrative at hand. For better or worse, the reality is that Mr. Market doesn’t have a heart or a brain. News doesn’t directly move price – liquidity, and supply/demand dynamics do. Urban’s chart shows the S&P 500 between 1963 and 1974, with one particularly tumultuous year, 1968, highlighted in yellow. The S&P 500 managed to rise 7% that year despite several tense moments of sociopolitical upheaval, including the Tet Offensive, DNC protests, and the assassinations of Martin Luther King Jr. and Robert F. Kennedy. It’s harder than ever to ignore the news right now. The images we see every day stir up a lot of emotions. However, as a technical analyst, it’s essential to remain objective by separating news from price action. For more on this, check out this article.

Quote of the Day

“You must not lose faith in humanity. Humanity is like an ocean; if a few drops of the ocean are dirty, the ocean does not become dirty.”

– Mahatma Gandhi

Top Links

2020 in Charts – LPL Financial Research
Here’s a must-read from LPL Financial Research that sums up this historic year in ten charts.

Hard to Find a Stock Below its 50-day – Bespoke
Bespoke shows that a relatively high percentage of stocks are trading above their 50-day moving averages.

It Looks Like Investors are Becoming Euphoric – SentimenTrader
Jason Goepfert points out that the Citigroup Panic/Euphoria Model is showing a higher level of euphoria than it was at the market’s peak in February.

Consolidations are Resolving Higher, Not Lower – All Star Charts
JC Parets shares some of his recent observations across the markets.

The Economic Modern Family – Time to Prune in June? – StockCharts.com
Mish Schneider checks up on a group of important ETFs that she calls “The Economic Modern Family” – including the Russell 2000 ($IWM), Regional Banks ($KRE), Transports ($IYT), Semiconductors ($SMH), Retail ($XRT), and Biotech ($IBB).

Top 10 Tweets

You’re all caught up now. Thanks for reading!