Wall Street continues its rebound while waiting for the NFP
The New York Stock Exchange continued its rebound yesterday for a second consecutive session. Wall Street once again ended sharply higher, driven by falling bond yields and a general upturn in investor risk appetite after several weeks of pessimism.
The major indices climbed on the open and never really lost their footing, closing with solid gains and near their session highs. Over the past two sessions, the S&P 500 and Nasdaq have risen 5.7% and 5.4% respectively.
All sectors of the S&P 500 posted gains on Tuesday, with the energy sector (+4.3%) outperforming on higher oil prices, after reports that OPEC+ would consider cutting its production of 1.5 to 2.0 mbd at Wednesday’s meeting, compared to previous reports of 1 mbd, according to the Wall Street Journal.
The rebound in stock markets could continue in the very short term, until sentiment normalizes, but the publication of the monthly US employment report on Friday will probably be decisive. The number of job creations should neither surprise too much on the upside nor too much on the downside so as not to fuel fears of even more aggressive monetary tightening for fears about the economy.
S&P 500 daily price chart – key levels