A slightly bearish opening is expected on Wall Street. These are the factors to consider.
1- During the European morning, futures have had a bad time in the US, due to growing fears about growth.
In fact, Goldman this morning lowered its growth forecasts in quite far-reaching news for traders.
2- The virus is the number one problem, since in the end the% of vaccination is being much lower in the US than politicians expected and the delta variant is very powerful, even infecting those vaccinated, although that is with less serious effects among those vaccinated.
Dr. Fauci has said that the US is on the wrong track in terms of strategy with the virus and that the third dose will be necessary. Something that seems increasingly evident, seeing the infections among those vaccinated that are appearing in all countries.
3- On the other hand, the bonds return to the clear increases, something that lately worries the stock markets. Well, returns at this point of 1.23% can only show operators a discount of growth problems. And there it continues, again lowering returns, unfortunately for the strong shorts that it still has. Possibly it will not turn around until the pain is extreme with those shorts and they are all closed.
4- But at this time the declines are small, as the technical upward trend continues at its peak. With wide divergences everywhere, but there it is and it is not a good idea to go against it. That has been very clear for a long time.
The Nasdaq as long as it remains above the 15,000 level has significantly more upside potential.
The SP 500 is at a key moment, hovering around the 4,400 resistance for the second day, if it passes, the normal thing is that it goes to 4,500 where the ceiling of the bullish channel is and that it is already more difficult to pass.
5- This week is important in terms of results because they publish the greats of technology. To start tonight Tesla. They have in this article some considerations about this Tesla publication:
During the week, as we said, many more companies of this type will publish.
6- Chinese stocks listed in the US can have a hard time opening after the fall of the Chinese stock market tonight, after its government announces new regulations that may harm the education, technology and real estate sectors.
This is how things are between these values according to . data:
Major e-commerce group Alibaba Group and search engine Baidu Inc, two of the largest publicly traded Chinese stocks in the United States, each fell more than 3% in pre-market trading.
The ride-sharing app Didi Global, whose shutdown earlier this month had once again highlighted Chinese regulatory concerns, plunged 10.7%.
7- This week will be equally important the appointment with the FED on Wednesday as things are currently.
8- The toy manufacturer Hasbro rises more than 4% after giving better than expected results.
José Luis Cárpatos.