NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Rallies As Micron Gains 5.3%

Treasury yields gained ground as bond traders reacted to the Producer Prices report and bet on hawkish Fed. The yield of 10-year Treasuries climbed above the 4.47% level, while the yield of 30-year Treasuries settled near the 5.04% level. It should be noted that rising Treasury yields did not put pressure on SP500 as market sentiment remained extremely bullish.

Oil prices pulled back as U.S. President Trump arrived in China to meet with Xi. WTI oil declined towards the $101.00 level, while Brent oil settled below $106.00. Falling oil prices provided some support to stocks in today’s trading session.

Tech stocks were among the biggest gainers today. Consumer cyclical and healthcare stocks have also moved higher. Utilities and real estate stocks declined as traders reacted to rising Treasury yields. Energy stocks have also moved lower amid pullback in the oil markets.

SP500 climbed above the resistance at 7425 – 7435 and is trying to settle above the 7450 level. In case this attempt is successful, SP500 will head towards the 7500 level. RSI remains in the moderate territory, so there is plenty of room to gain momentum in the near term.