Video summary
The market update from September 15th highlights a steady decline across major indices, with the Dow Jones Industrial Average dropping 358 points to settle at 52,063 and the S&P 500 falling 33 points to 7,586. Although these moves are not characterized by sudden crashes, they represent a consistent drip of lower lows and lower highs that is beginning to impact weekly charts. In contrast, the Nasdaq 100 (QQQ) displays a slightly different pattern, managing to hold above yesterday's low while maintaining a sideways movement on its weekly chart, despite being down 4.5 points to 7,048. This divergence suggests that while broad market sentiment is cautious, certain sectors are finding temporary support against the downward pressure.
Sector performance reveals mixed signals, with small-cap stocks represented by the IWM index suffering a significant drop from 305.18 on August 14th to today's low of 284, a move that is now affecting its weekly structure. Conversely, the semiconductor sector (SMH) remains relatively stable, holding up by 15 cents without breaking key levels, though this stability may indicate underlying uncertainty. Meanwhile, gold has recovered from earlier sharp declines to be down only two points at 43.49, and crude oil continues to make higher highs, extending its trend back to March of the current year. These contrasting behaviors across different asset classes illustrate a complex market environment where specific sectors are reacting differently to broader economic pressures.
Digital assets and fixed income markets present their own challenges, with Bitcoin pulling back sharply from a two-week high of 82,559 to drop by 3,235 points. While the weekly chart for Bitcoin remains technically sound, the daily chart is approaching critical support levels below the 300-period moving average. Perhaps more concerning for investors are the rising yields, which have moved in perfect correlation with other assets and have climbed to 3.962%. The analyst warns that if yields continue their upward trajectory into the 4% range, it could pose a significant problem for the market, necessitating further discussion during the upcoming Tom and Brian show.
In conclusion, the current market landscape is defined by a steady erosion of value in major indices like the Dow and S&P 500, driven by a lack of decisive momentum rather than sudden shocks. While some sectors like oil and certain tech segments show resilience or continued upward trends, others like small caps and Bitcoin are facing structural weaknesses that could lead to further corrections. The primary concern remains the behavior of bond yields, which are climbing steadily and threaten to cross a critical 4% threshold that could destabilize market conditions. Investors are advised to monitor these weekly chart patterns closely, as the combination of lower highs in equities and rising yields suggests a potentially difficult period ahead for portfolio management.
Read the full video transcript
is TFFN
the Tiger Financial News Network.
>> [music]
>> TFFN
headline news update.
>> Good afternoon everyone. Basil Chapman
here. This is the 3:00 market update.
We're looking at the Dow down 358 points
at 52,063.
You can see the steady move to the
downside. Not a big smash, it's just
steadily every couple of days this makes
a lot of lows. Weekly charts just
beginning to be impacted but still
technically good. The S&P at this point
is also down.
It is down 33 at 7586.
Uh yes, this is making lower lows and
lower highs uh here again. Uh not a very
big smash to the downside but just a
steady kind of drip to the downside.
With the weekly chart holding pretty
well, the QQQ
uh has a slightly different pattern.
Uh it is holding above yesterday's low
but it is also arching over. Here is the
weekly chart then it is a fascinating
chart. It's just holding very nicely in
a sideways move but it is down 4 and 1/2
at 704.80.
>> [clears throat]
>> IWM this is one of the one of the
problems here that small caps. Look at
that made a lower low. Um and it's gone
from 305.18
on the 14th of August all the way to
today's low of 284. That's that's quite
a big move and it's starting to impact
the weekly chart. The SMH is the
semiconductors. Now this is interesting.
Holding quite nicely up 15 cents. Hasn't
broken down, hasn't broken up but it is
telling us if there's some some kind of
a problem there. But look at this gold
which was down very sharply earlier is
now down only two points at 43.49. I'll
discuss this when I come back during the
Tom and Brian show for Tommy.
But it's only down three. Crude oil,
hasn't made a higher high than yet. It's
made a higher high than yesterday. It's
up 105.81
105.60.
Up 4.21 [clears throat]
and you can see I've been showing you
these patterns and on the weekly chart
it's just making higher highs. It's
taking all the recent highs all the way
through to a March of this year.
Look at the Bitcoin. Bitcoin's pulled
back quite sharply. It's actually down
3,235
after that 82,559
that was made two weeks ago. The weekly
chart is still pretty good. Daily chart
is just starting to get below the 300
period moving average. One thing we need
to look at here is the
the
yields.
The yields have done all the same
exactly one to one to the upside and
they I put up 3.30 39.62. As I've said
before, so I have to go into the 4% area
like a 40 area. I think it'll be a
problem. I'll talk about that when we
return. That's the checkpoint coming in
for the Tom and Brian [music] show.
We'll be right back.