FactSet Evening Market Recap

US equities were mostly higher in Tuesday trading, though stocks ended off best levels. Tuesday's upside was driven by an AI/momentum trade bounce, stabilizing after a recent selloff. September JOLTS job openings printed ahead of consensus and was the highest headline since May.

US equities were mixed in Monday trading as stocks ended near session lows. AI trade reversed early gains with the fade tabbed to cautious AI updates including multiple issuance announcements and headlines. October ISM manufacturing printed at 55.5, better than 54.6 consensus and September's 54.5.

Major US equity indices were largely lower this week, dragged down by softness in the Mag 7 complex and a late-week paring of gains in the AI trade. The week's FOMC meeting was largely as forecast, with members voting to hold rates steady (with Hammack and Cook dissenting). The Iran war continued to bubble in the background, making its influence felt via this week's choppy oil trading.

US equities were mostly lower in Thursday trading. However, breadth was very positive, with the equal-weight outperforming the cap-weighted index by ~140 bp. The AI trade was under pressure after a strong week despite what seemed to be positive earnings takeaways for the compute/capex theme.

US equities were higher in Wednesday trading, though index upside was limited. Breadth was negative with the equal-weight index again lagging the cap-weighted S&P. The AI trade fared well with semis/memory and largely higher, though there were a few pockets of softness.

US equities finished higher in Tuesday trading, ending not far from best levels. More positive recent sentiment has been attributed to removal of some high-profile funding overhangs and renewed focus on the strong compute/capex demand narrative

US equities closed higher in Monday trading, ending a bit off best levels. AI trade had a solid day backed by positive sentiment around multiple headlines, including Meta's $95B equity raise and SpaceX's $40B debt raise. October Dallas Fed manufacturing printed at 13.4, topping 7.0 consensus and September's 9.8.

US equities were mixed this week following last week's mostly lower performance. AI trade remained the biggest market story, with an early-week rebound giving way to a sharp Thursday selloff as funding and capex concerns remained the key overhang. Q3 earnings were broadly supportive of the macro backdrop despite continued pockets of cost pressure.

US equities were lower in Thursday trading, ending not far from their worst levels. The S&P and Nasdaq are now lower week-to-date. However, breadth was positive and the equal-weight S&P was ~190 bp better than the cap-weighted index.

US equities were higher in Wednesday trading, ending not far from their best levels. The AI trade was the leader with semis/memory higher. Earnings takeaways were mixed with the usual moving pieces and nothing particularly incremental for the market narrative.

US equities were mostly higher in Tuesday trading. Small cap R2K and equal-weight S&P the notable gainers. Some stabilization in the AI trade following earlier pullback partly chalked up to poor debut of Korean neocloud provider Elice, which fell more than 30%.

US equities were mostly higher in Monday trading, though stocks ended off best levels. AI trade bounce was the big story today, largely chalked up to oversold conditions and cleaner positioning. It’s a fairly quiet week ahead on the macro calendar ahead, particularly with the Fedspeak blackout period ahead of the October 28th FOMC announcement.

US equities were mostly lower this week. The AI selloff was the big story of the week. Data this week continued to show hotter than expected inflation.

US equities closed higher in Thursday trading, ending near best levels. Rotation was again the major theme today, with a big Treasury rally today in a safe-haven trade. In macro news, September headline retail sales came in at 0.8%, above consensus, with control group sales of 0.15%.

US equities were lower in Wednesday trading, ending just a bit off worst levels. September core CPI was hotter than expected on both a m/m and a y/y basis. Core services, supercore (ex- energy and housing) were both higher, with supercore at its hottest since January.

US equities finished mostly lower in Tuesday trading, though downside was very limited and S&P gainers outnumbered decliners. More broad pressure across the AI complex, particularly on semicaps and memory.

US equities were mostly lower in Monday trading, though S&P gainers handily outnumbered decliners. The AI trade was under pressure with memory an outsized laggard on density progress highlighted by China's CXMT. Oil was higher following ramp in Middle East hostilities over the weekend along with skepticism surrounding Trump's diesel deal with Russia.

US equities were mostly higher this week following last week's mostly lower performance. AI sentiment turned more volatile, though the underlying compute-demand narrative is still intact. Middle East escalation again challenged the improving energy-flow backdrop, keeping oil volatile.

US equities were lower in Thursday trading in a somewhat choppy session. However, breadth was positive, and the equal-weight S&P outperformed official index by over 100 bp. The AI trade led to the downside as semi and memory sold off sharply lower.

US equities were lower in Wednesday trading, though ended just off best levels. The session found late support as the rate backdrop stabilized, aided by factors including lower crude and a well-received 10Y auction. However, broader overhangs persist, including French bonds, foreign Treasury demand retrenchment, refinancing walls, and growing AI external funding needs.