Technical Analyst, Saxo Bank
Summary: S&P 500 managed to close above key support whereas Nasdaq closed below its key support resuming down trend. Dow Jones was set to confirm uptrend but failed as sellers took control after a positive opening
S&P 500 got rejected at the 100 SMA to be sent back below 200 SMA and close d a few points above key support at 4,381. A Daily close below will resume down trend.
RSI still showing positive sentiment. A daily close below 40 threshold will reverse that picture to negative.
S&P 500 needs to close above 4,525 to turn Bullish.
Nasdaq 100 closed below key support at 13,827The Index could be set for a re-test of the March low at around 13K. RSI is still above 40 however, which some Bulls will cling to in a hope for Nasdaq to rebound. But the trend is down. To reverse the trend a close above 14,265 is needed.
Dow Jones Industrial. During the early part of trading session yesterday Dow Jones looked to confirm short term uptrend. That picture was quickly shattered however, when sell-off hit resulting in a Bear Engulfing candle
The Index is back to neutral or Range Bound between 34,100 and 35,500. A close above 35,493 is needed for uptrend to resume.
AI: The good, the bad, and the bubble
While a deep recession may not be iminent thanks to central bank policy, interest rates will have to stay high for longer, and this will be accompanied by volatility risk from the unwinding of bubbles, especially within AI.
Steen Jakobsen,
Chief Investment Officer
The emergence of advanced AI systems is by far the most surprising event this year, turning everything upside down, while risks and benefits are debated. AI will also become an arms race between the US and China.
Peter Garnry,
Head of Equity Strategy
While commodities, broadly speaking, have faced some tough months, a partial reversal during June could signal that the asset class is getting back on its feet with energy holding up and precious metals with upside potential.
Ole S. Hansen,
Head of Commodity Strategy
The USD is on its back foot as markets celebrate an eventual Fed rate peak and steady long US yields. The stakes are even higher for the Japanese yen if longer major sovereign yield curves have to price in economic acceleration.
John J. Hardy,
Head of FX Strategy
As inflation remains high central banks face hard decisions about whether they should keep hiking interest rates or stop. Meanwhile, the rise of AI creates bubble-like conditions that only make the decision harder.
Althea Spinozzi,
Senior Fixed Income Strategist
The AI fever has turned the technology into a darling, pushing crypto further into no-man’s-land. There are striking similarities between AI and crypto, and if these are to come full circle, AI won't be spared for bubbles.
Mads Eberhardt,
Cryptocurrency Analyst
Stocks related to artificial intelligence (AI) have appeared on investors' radars. Expectations are high, but it may be necessary to consider how to get exposure to AI in a diversified way.
Hans Oudshoorn,
Trainer Academy
Japan’s expertise in semiconductors and robotic integration could be the foundation of AI dominance. Combining two of this year's themes, Japanese equities and artificial intelligence, brings a wave of opportunities.
Charu Chanana,
Market Strategist
As China navigates global fragmentation, its cycle of technology application, productivity enhancement, and growth is threatened by US breakthroughs in generative AI, limited computing power, and geopolitical tensions.
Redmond Wong,
Market Strategist