Market Pauses; Axon, Eli Lilly, Dell In Focus | Stock Market Today

TL;DR

Small caps struggle while the NASDAQ takes a pause, with the 10-year treasury yield affecting performance.

Transcript

the good afternoon everyone and welcome to stock market today it's Ally Corman Justin neelen here with the breakdown of the action in today's session Wednesday November 8th where it seems like we could be getting the pause we want small caps another issue we'll get to that but Justin your thoughts brief ly on today's action and just give us a previ... Read More

Key Insights

• 🥺 The NASDAQ's pause may lead to concerns, but it is a natural consolidation after a significant increase.
• 🖐️ The decrease in the 10-year treasury yield did not fully alleviate pressure on the Russell 2000, indicating other factors are at play.
• 👲 The market is still reliant on mega-cap tech stocks, with small caps and equal weighted S&P 500 showing more significant pullbacks.
• 🧡 The stability of the dollar suggests a trading range has been established.
• 🪡 Breakouts are occurring, but caution is needed as the upcoming earnings season may impact stock performance.
• 🛀 Stocks like Axon and Eli Lily have shown positive reactions to earnings and news, with potential for further growth.

Questions & Answers

Q: Why is the NASDAQ pausing after a significant increase?

After an 88.7% increase from its bottom, the NASDAQ is taking a break to consolidate its gains.

Q: How is the Russell 2000 performing in relation to the 10-year treasury yield?

Despite the decrease in the 10-year treasury yield, the Russell 2000 is still underperforming, suggesting other factors are impacting its performance.

Q: Are small caps experiencing a pullback?

Yes, both the equal weighted S&P 500 and small caps, including the S&P 400 midcap index, are experiencing a pullback, indicating the heavy reliance on mega-cap tech stocks in the market.

Q: How is the dollar moving in relation to the market?

There is minimal movement in the dollar, suggesting a stable trading range has been established.

Summary & Key Takeaways

• The NASDAQ is taking a break after a significant increase from its bottom, while small caps are struggling.

• The 10-year treasury yield coming down was expected to relieve pressure on the Russell 2000, but it is still underperforming.

• The pullback is more evident in the equal weighted S&P 500 and small caps, indicating that mega-cap tech stocks are driving the market.