U.S. stocks surged yesterday, 13th October 2022, with all three major indexes ending the day up more than 2%, as technical support and investor short-covering pushed the market to rebound strongly after earlier selloffs.
In yesterday’s sharp reversal, the S&P 500 jumped nearly 194 points from its intraday low to its high, the index’s biggest intra-day point gain since 24th January 2022.
Financial and energy stocks led the gains among the S&P 500 sectors. The market fell in response after data showed the Consumer Price Index (CPI) rose 8.2% year-over-year in September, as forecasts were for an 8.1% gain.
Some of Wall Street’s biggest banks will report results today to kick off the third-quarter earnings season, and investors are waiting to see how the high interest rate environment will affect their profits.
Warburg Union rose, after the company reported better-than-expected fourth-quarter earnings.
The number of stocks up and down on the New York Stock Exchange was 2.24:1 and the Nasdaq exchange was 2.10:1.
Three S&P 500 components hit new 52-week highs and 172 new lows while five Nasdaq components hit new highs and 600 new lows.
(Dow 30, 1-hour chart)
The Dow focuses on the 30350 line today. If the Dow runs steadily above the 30350-line, it will pay attention to the suppression strength of the 30495 and 31000 positions. If the Dow runs steadily below the 30350-line, it will pay attention to the support strength of the 30083 and 29767 positions.
Hong Kong Stocks
U.S. CPI in September exceeded expectations, and U.S. stocks fought back!
Hong Kong stocks, which have fallen in a row, opened higher, with the Hang Seng Index (HSI) up 1.72%, the Hang Seng China Enterprises Index (HSCEI) up 1.46%, and the Hang Seng TECH Index (HSTECH) up 1.86%.
On the market, large technology stocks rebounded across the board. Baidu, Inc. (9888.HK) and Kuaishou Technology (1024.HK) rose by more than 3%. Tencent Holdings Limited (0700.HK), Meituan (3690.HK), NetEase, Inc. (9999.HK) and JD.com, Inc. (9618.HK) all rose by more than 1%.
Biotechnology stocks continued to rise, building materials and cement stocks, catering stocks, shipping stocks, semiconductor stocks, gas stocks, auto stocks have strengthened.
On the other hand, only a few pharmaceutical stocks fell, and property stocks Zhenro Services Group Limited (6958.HK) fell more than 5%.
(HK50, 1-hour chart)
HK50 focuses on the 17535-line today. If HK50 can run stably above the 17535-line, then pay attention to the suppression strength of the 18606 and 19517 positions. If the HK50 runs below the 17535-line, then pay attention to the support strength of the 16664 and 15995 positions.
FTSE China A50 Index
(FTSE China A50, 1-hour chart)
FTSE China A50 pays attention to the 12733-line today. If the A50 runs steadily below the 12733-line, it will pay attention to the support strength of the two positions of 12423 and 12260. If the A50 runs above the 12733-line, it will open up further upward space. At that time, pay attention to the two positions of 12945 and 13157.
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