Market Recap
November 22nd, 2021
Markets
US indices ended mixed. The Nasdaq (1.2%) rose and marked another intraday-high, while the Dow Jones (1.4%) faltered. Investors continued to weigh buoyant Q3 earnings and economic data against inflation risks and ongoing supply chain strains The VIX (9.9%) rose
Sectors
Growth stocks handily outperformed value, prompted by Big-Tech. Consumer discretionary (3.8%) led the markets, primarily on Amazon’s and Tesla’s surge, followed by IT (2.4%). Energy (5.1%) plunged in tandem with oil prices, and aided by Biden’s order to investigate the oil & gas companies for “illegal conduct” in pricing
Rates
US treasury yields finished little changed as investors stood by for the next Fed Chair announcement. The consensus is for Powell’s renomination, but the prospects for the dovish Brainard are still on Biden’s table. Meanwhile, the ECB pushed back against any interest rate increases on the grounds that inflation will “fade.” The MOVE (6.6%) index dropped
Commodities & FX
Oil (6.0%) prices continued to decline after China and the US discussed releasing strategic reserves, and the US inventories showed a rise for the first time in five weeks. Gold (1.0%) and silver (2.7%) dropped, while the USD (1.0%) rose vs. major currencies basket
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Daily Notional Value of All Single-Stock Options Traded
Source: Goldman Sachs, OptionMetrics, Bloomberg
S&P 500 Sectoral Performance
Source: Charles Schwab, Bloomberg
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