Index Weekly Wrap for the Week of Oct 25

Summary of content for the week of Oct 25:

1. Week 43 major indexes performance;
2. Week 43 US sector indexes performance;
3. Major indexes weekly charts of support and resistance levels;

U.S
U.S stocks rose for 3rd straight week, close near record highs. Earning reports drive gains. Not much headlines on trade wars and geopolitics, more focus on corporate earning instead for the week. Notably, Gold ETF GLD and Crude oil gained ground and rebounded this week. Take a look at GLD daily chart, it's a bullish signal.

There are few important events that could drive markets in coming week. First, FOMC meeting announcement on Wednesday( 2am Thursday Oct 30 SG time), and three of the FANNG stocks earning reports coming week i.e. AAPL, FB and GOOGL.

China/HK
Shanghai stocks edged up this week, as a string of solid earnings reports and a large liquidity injection by the central bank boosted buying sentiment. Last week, China reported 6% GDP growth in 3Q which is below forecast and the lowest growth since 1992. HSI index closed edged down this week after 2-week up in a row. 

Singapore
STI posted best weekly gain in four months. Next technical target level at 3216, which is Sep high, major support level 3068-3100.

Index Weekly Wrap for the Week of Oct 18

Summary of content for the week of Oct 18:

1. Week 42 major indexes performance;
2. Week 42 US sector indexes performance;
3. Major indexes weekly charts of support and resistance levels;

U.S
U.S stocks moved a little higher for the week, U.S 3Q earning season kicked off last week with better-than-expected earnings but offset by ongoing global growth concerns. U.K parliament decided to ask for the EU for extention on vote-3rd time yesterday. The back and forth US-China trade negotiation has seen some "substantial progress" as said. 

within the S&P 500 sectors, Healthcare(XLV) outperformed, Technology(XLK) and Energy(XLE) underperformed. 

China/HK
Shanghai index recorded weekly loss of over 1% after China's 3Q GDP growth missed forecast, rose 6% in 3Q from a year earlier, marks the slowest growth pace since 1992. 

Singapore
STI gave back its earlier gain and closed flat for the week. Immediate technical support is from 3068-3100 area.

Index Weekly Wrap for the Week of Oct 11

Summary of content for the week of Oct 11:

1. Week 41 major indexes performance;
2. Week 41 US sector indexes performance;
3. Major indexes weekly charts of support and resistance levels;

U.S

Stocks rallied on Friday as Trump announced US-China trade "Phase 1 Deal". Positive comments on the Brexit also added to the optimism. This incremental progress is encouraging, but additional phases of agreement will likely to more time. Thus trade issues will remain a source of volatility.

Within S&P 500, export-sensitive sectors such as Materials(XLB), Industrials(XLI) and Technology(XLK) got boosted. Utilities(XLU) lagged as rising interest bond yield made their relatively high dividends less attractive.

Technical perspective, SPX and DJI closed 1st week up after three-week down in a row, and Nasdaq(COMP) closed for 2nd week up. The long tails left on their weekly charts for past two weeks signaled increased market volatility.

China/Hong Kong
China and HK markets both made decisively rebound this week, ended three-week decline streak. Hongkong's protest still ongoing and seems will not end anytime soon. But the downside will be limited as valuation very cheap and attractive.

Singapore
STI also posted first week reobund after three-week down. Immediate support 3068-3100 level.

Index Weekly Wrap for the Week of Oct 4

Summary of content for the week of Oct 4:

1. Week 40 major indexes performance;
2. Week 40 US sector indexes performance;
3. Major indexes weekly charts of support and resistance levels;

U.S
Most U.S stocks down for 3rd week in a row, for SPX and DJI index but strength in Apple(AAPL) and other technology stocks supported the Nasdaq index(COMP) to ended modestly higher for the week after 2-wk down.

U.S PMI in Sep contracted for 2nd month in a row, Services index also decline but remained in expansionary territory. But jobs report released on Friday shows that labor market remains positive for consumers and the economy. Manufacturing is only accounted about 10% of GDP and 9% of jobs created, a small segment but its signal value is high as its performance is closely correlated with the economy. Expected higher volatility in markets due to economic and geopolitical risks, and the coming US-China trade talks.

As seen from below weekly performance table for US sectors, technology(XLK) was the best and Energy(XLE) was the lagger, as growth worries push oil prices back to their lowest level since early Aug.

China/HK
Mainland China stock markets will resume trading on Oct 8, Tuesday after Gold Week holiday from Oct 1-7. U.S-China trade talks scheduled on Oct 10-11 should continue dominate headlines. U.S planned tariff hike on $250b in Chines goods from 25% to 30% will be effective on Oct 15, originally set for Oct 1 but Trump agreed to delay due to China's National Day holiday.

HSI is in 3rd week decline in a row, hit one-month low as growing anti-government protests hurting the financial center's economy hard. Technical support for HSI is around 24900-25000 level.

Singapore
STI also dropped 3rd week in a row to its one-month low, technical support will be at 3040-3068 level. Refer to below weekly charts.

Index Weekly Wrap for the Week of Sep 27

Summary of content for the week of Sep 27:

1. Week 39 major indexes performance;
2. Week 39 US sector indexes performance;
3. Major indexes weekly charts of support and resistance levels;

U.S
US stocks fell this week. Politics and U.S-China trade issues dominating the news headlines. Donald Trump was officially announced to take into impeachment inquiry by House Democrats, but the chances of an actual conviction less likely given that Republicans remain control the Senate. 

Reports that Trump was considering ristricting U.S investment in China and forcing U.S exchanges to delist Chinese companies sent stocks down on Friday, especially technology stocks. Nasdaq index(COMP) dropped more than 2% while DJI and SPX dropped 0.4% and 1% respectively. Shares in Chinese companies such as Alibaba, Tencent, Baidu fell sharply. 

All three major indexes fell for 2nd week in a row, Nasdaq composite index(COMP) being the weakest among the three dropped to its uptrending line,(refer to below weekly chart) a breakdown of the support line would lead to further downside move in coming week.

China/HK
China SSE index and HSI registered 2nd week decline as well. SSE index fell the most this week(-2.5%) as lack of positive catalysts gave little incentive to buy ahead of a weeklong holiday starting next Tuesday. Weekly candlesticks look bearish for both indexes.

CNBC reported that U.S and China to resume trade talk on Oct 10-11 in Washington.

Singapore
STI index was down in 2nd week in a row following regional peers. Immediate technical support level at 3100 and then 3068 is the major level. 

Index Weekly Wrap for the Week of Sep 20

Summary of content for the week of Sep 20:

1. Week 38 major indexes performance;
2. Week 38 US sector indexes performance;
3. Major indexes weekly charts of support and resistance levels;

U.S
US three major indexes edged down a little this week. Fed cut a quarter point on its federal funds as expected, but stocks displayed little reaction. Crude oil price spiked to 15% higher but gave back some early gains, finished the week 6$ higher as Saudi Arabia said that production will back to normal by the end of the month. 

SPX dropped 4.9% dropped on Friday- the most part contributed to its weekly loss came after Chinese trade negotiators canceling a visit to meet U.S farms after wrapping up their two-day trade talks in Washington on Friday. Going forward, the SPX still in uptrend and posted 1st week down after 3-wk up streak, no immediate signs of changing of trend.

Among SPX 11 major sectors, Utility(XLU) and Real Estate(XLRE) are the two top performers and Industrials(XLI) and Consumer Discretionary(XLC) are the two laggers.

China/HK
Latest data in Industrial output and retail sales for Aug showing continued slowdown in China's economy. SSE index slipped off the high since Jul, central bank's decision to keep longer loan rate on hold disappointed markets. HSI posted the most decline-3.35% in the week among the indexes in below indexes table for the week. 

Singapore
STI also gave back most of its gain from previous week, ended 2-week up streak. Immediate technical support at 3140.

Index Weekly Wrap for the Week of Sep 13

Summary of content for the week of Sep 13:

1. Week 37 major indexes performance;
2. Week 37 US sector indexes performance;
3. Major indexes weekly charts of support and resistance levels;

U.S
U.S stocks closed for 3rd straight weekly gain, the SPX is just about 27pts to reach its all-time high. Improving economic data, supportive global central bank policies and optimism around US-China talks all led to stocks advances in major markets around the world.  U.S 10-Yr Treasury yield had sizable rebound this week also easied market concern for an economy recession caused by the inverted yield curve. U.S FANG stocks(FB, AMAZN, NFLX and GOOGL) underperformed and attributed to weak Nasdaq composite index.

Out of the 11 major SPX sectors, cyclical sectors(financials, industrials and energy), outperformed defensives(utilities, healthcare and consumer staples). As seen in the weekly sector performance table below.

China/HK
China stocks advanced in a holiday-shortened week, the trade negotiations set to move forward between U.S and China, and China is taking stimulus measures to support its weakening economy. HK stocks outperformed this week with 2.48% gain, HK stock exchange's(HKSE) proposal bid to takeover London Stock exchange(LSE)was rejected after Asian markets closed, expected the HKSE will rebound coming week.

Singapore
STI had 2.13% gain this week, very bullish. 2nd-week straight rebound. There are still plenty of room to upside as seen from its weekly chart below.