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Markets are pulling back today as traders wait for December jobs data. Futures for the S&P 500 and Nasdaq 100 are both down -0.2%. Stocks Fall Before Jobs Data The numbers are expected to show +165,000 new jobs added in December, with unemployment steady at 4.
Tech stocks are lifting markets today. Nasdaq futures are up 0.96%, driven by excitement over Microsoft’s massive $80 billion AI spending plan. Treasury yields are climbing, hitting levels we haven’t seen since 2023, and the dollar is slipping for the second day in a row. Let’s
Markets are lower this morning. Nasdaq 100 futures are leading the drop, down -1.10%. Bitcoin is also losing steam, falling $15,000 from its December high, while Apple is on the verge of a historic $4 trillion market cap. Let’s break it down. Market Futures Markets are off
Zero-day-to-expire options (0DTE) are taking over the market. These contracts, which expire the same day they’re traded, now make up 50% of all S&P 500 options activity — a huge jump from just 17% in 2020, per WSJ. These options could cause extreme volatility for markets. Zero-day options
Pending home sales dropped in July, and our Pending Home Sales Index (PHSI) plunged, marking the lowest reading since 2001. What's in store for the housing market?
Pending home sales dropped by 5.5% in July, according to the National Association of Realtors. The Pending Home Sales Index (PHSI) fell to 70.2, marking the lowest reading since the index began in 2001, highlighting significant challenges in the housing market.
All four U.S. regions experienced declines. The Northeast saw a 1.4% dip from June, though it posted a 2.4% increase year-over-year. The Midwest faced a sharp 7.8% drop, down 11.4% from last year. The South decreased by 6.5%, an 11.5% decline year-over-year, and the West saw a 3.8% drop, with a 6.0% decrease from the previous year. But what’s really driving these regional differences?
Several factors are driving this downturn. Affordability remains a big issue, with mortgage rates and home prices outpacing wage growth. NAR Chief Economist Lawrence Yun cited the upcoming U.S. presidential election as adding to market uncertainty, causing buyers to adopt a cautious, "wait-and-see" approach.
Despite job growth and increased inventory, the economic environment remains difficult for homebuyers. Yun said that "a sales recovery did not occur in midsummer," showing our headwinds from high interest rates and low affordability.
With the pending home sales at their lowest level since 2001, our housing market is uncertain. While lower mortgage rates might eventually lure buyers back, the broader climate and consumer confidence, especially leading into volatility around the election, will play a large role in our market direction.