September 21 Update

This week’s events

MFG PMI

New homes sales

Durable good orders

8 Fed speakers

Trump – Xi meeting. 

Middle East & oil developments

Interest rates

Market breadth is deteriorating again.

The percentage of S&P 500 stocks now trading above their 50-day moving average is down to 44%, the lowest since April.

This figure has declined -14 percentage points since mid-August.

At the same time, the % of S&P 500 stocks trading above their 200-day moving average has dropped -10 points, to 64%, its lowest since June.

This comes as the S&P 500 equal-weighted index has fallen -2.9% over this period, while the S&P 500 has declined just -1.4%.

The market is increasingly being carried by fewer stocks.