Daily Chart Report ? Monday, November 16th, 2020
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Today’s Summary
Monday, November 16th, 2020
Indices: US Stocks kicked off the week on a positive note with the Dow Jones Industrial Average rising 471 points or 1.60%. The S&P 500 and Nasdaq gained 1.16% and 0.80%, respectively. Small-Caps outperformed with the Russell 2000 advancing 2.37%. The Dow, S&P, and Russell all closed at record highs.
Sectors: 10 of the 11 sectors closed higher. Energy led significantly, jumping 6.58%. Health Care was the only sector to close lower, slipping 0.17%.
Commodities: Crude Oil futures moved higher by 3.02% to $41.34 per barrel. Gold futures were flat, and continue to trade at $1,888 per ounce.
Currencies: The US Dollar Index slipped 0.17%.
Interest Rates: The 10-year US Treasury yield inched higher to 0.908%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Today’s Chart of the Day was shared on Twitter by Sarah Ponczek of Bloomberg (@SarahPonczek). It's a chart of the Russell 2000 over the past decade. On Election Day, we discussed the potential for a post-election surge in Small-Caps, and it sure looks like that's happening. As Sarah points out, the Russell 2000 is having it's best 11-day rally since 2011. Perhaps more importantly, the index closed at an all-time high for the first time in more than two years on Friday. This is further evidence of broadening participation and risk appetite among market participants. According to seasonality, the Russell 2000 has historically outperformed the S&P 500 from November-March. After making zero progress in the past two years, could the Russell 2000 finally be ready for a meaningful leg higher? Stay tuned!
Quote of the Day
“One of the frustrating things for people who miss the first rally in a bull market is that they wait for the big correction, and it never comes. The market just keeps climbing and climbing.”
– Martin Zweig
Top Links
What if This is the Bull Market? - Marea Market Musings
Dan Russo explains that we're probably closer to the beginning of a cyclical bull market than the end.
Small-Caps Join The New-Highs Party - LPL Financial Research
The team at LPL Financial Research weighs-in on the recent surge in Small-Caps.
The More Things Change, The More They Stay The Same - The Weekly Trend
In this week's podcast, David Zarling and Ian McMillan discuss some noteworthy technical developments including the surge in Small-Caps, the breakout in Japan, and more.
Grain of Salt! - Murphy Charts
Shane Murphy offers his thoughts on the recent rotation from Growth to Value.
Rotation Games - Momentum Monday
In their weekly Momentum Monday video, Howard Lindzon, and Ivanhoff highlight the strongest stocks, trends, and themes across the markets.