Exchange activity will be picking up one way or another, whether it is to the upside or downside. I have two exchange stocks that may continue their upward trend as traders hedge investments and bearish investors increase their positions — and more in today’s stock market recap.

It’s important that traders make the right moves in today’s environment. When markets get choppy, traders become more active and tend to make mistakes.  

But first…

Stock Market Recap

In today’s stock market recap, global markets were mixed with the Wall Street moving to break this week’s downward trend. Many markets around the world dipped today as inflationary worries intensified.

Investors are concerned inflation may interfere with economic recovery. If inflation runs too hot, the Federal Reserve would begin to withdraw stimulus and hike its near-zero interest rates. 

Jobless claims this week dropped to a new low of 473,000 since the pandemic began. As long as the monthly job report also increases, these numbers should continue to be good news. 

The prices companies pay producers is measured by the Producer Price Index. Like Wednesday’s Consumer Price Index report, it also soared in with a 4.6% increase from April 2020.

Today is an important day for the S&P 500. It’s sitting at the 50-day moving average. If the index dips below this level, we could see a further dip — especially with this week’s Nasdaq selloff. 

The 10-year Treasury rose to 1.69% on Wednesday. The Fed issues bonds every day. If rates go higher tomorrow, today’s and Wednesday’s bonds will be devalued. Remember that there is a negative correlation between interest rates and the bond market.

Roger’s Radar: 2 Stock Plays for Rising Trading Activity

CME Group Inc. (Nasdaq: CME) has been trading sideways since February. It recently dipped below the 50-day moving average and then broke out higher. I expect it to break even higher as trading activity increases. 

CME is the world’s largest financial derivatives exchange. Options and futures contracts are traded on agricultural products, currencies, energy, interest rates, metals, stock indexes and cryptocurrencies. 

Commodity prices are skyrocketing and more inflation is expected. A lot of companies and investors are hedging their investments with commodities. 

Our second exchange stock is breaking out after consolidating for a couple of months. It’s on a strong upward trend I expect will continue.

I see upside in the Energy, Basic Materials and Retail sectors right now — so make sure you look at opportunities in these sectors.

In today’s video, I’ll go over whether inflation is eating into stock market profits… whether the Nasdaq is bouncing back or falling down… whether the S&P 500 is going to follow the Tech sector lower… the top 2 stocks in the market right now… and the top stocks investors and traders are targeting.

 

P.S. Inflation fears are driving investors away from large, high-growth tech stocks and toward smaller cyclical companies that stand to benefit as the economy reopens.

Wall Street legend Chuck Hughes is unveiling his three-piece blueprint that gives everyday traders the chance to profit on stocks…. regardless of the current market climate!

With fresh inflationary pressure from Wednesday’s Consumer Price Index data, there’s never been a better time to learn about Chuck’s strategy.

He’s also kicking off a special challenge to quintuple his portfolio in three months… And he’s inviting everyday traders to join him. 

Learn more about it here.

What to Expect as FAANG Stocks Prepare to Report

What to Expect as FAANG Stocks Prepare to Report

The major indexes slumped as investors brace for a busy week of earnings and the Federal Reserve’s latest interest rate announcement — and more in Monday’s stock market recap. The Federal Open Market Committee meeting starts on Tuesday, with the Fed expected to...

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