Outlook 04/19: U.S. stock futures recover from overnight losses and are little changed following Israel strikes on Iran. The market also largely shook off a post-earnings slide in Netflix. The streamer fell more than 4% even after quarterly earnings beat on the top and bottom line. The SP500 is now 4.8% off its 52-week high, part of a market pullback that has been largely driven by tempered expectations for a rate cut soon. The stock market’s biggest worry right now is inflation, which is re-accelerating and throwing cold water on the idea of any rate cuts in 2024, let alone one or two. Economists and strategists now see the Fed waiting until at least September to lower rates and are increasingly entertaining the possibility of no reductions at all this year.
/ESM24 (JUN 2024): YVAH 5074 YPOC 5049 YVAL 5043 GAP 5049.25
/ES Plan: Yesterday market closed bearish, but overnight looks slight bullish (PBT 5096), moving within yesterday value, so these're the opening and initial balance options for today:
