Market Back into the Historic High! U.S Sentiment Turns Positive.
The U.S Market back into the historic high level as optimism on economic recovery. The controlled Inflation report and a halt in the current upward interest rate rise support the market gains. But the major news was the U.S. prepared to inject a massive amount of fiscal stimulus into the economy. The U.S benchmark Indexes rallied about 2.6% to 7.38%. The midcap Index Russel-2000 outperformed. The Tech shares partially recovered from its previous week most significant decline.
The European benchmark Indexes rose sharply about 2% to 5% boosted by the U.S massive stimulus package, and the European Central Bank (ECB) pledged to buy more bonds to counter rising borrowing costs. Italian Index FTSE-MIB outperformed despite the increased daily cases of Covid-19 and the complication in the vaccination. The U.K GDP shrank about 2.9% from its forecasting level of 4.9%.
The APAC benchmark Indexes remains in mixed movement. The Indexes ASX-200, Kospi-100, Nikkei-225 and Nifty-50 were closed higher, about 0.62% to 2.96%, as a weekly gain. Nikkei-225 Index outperformed. The value stocks in Japan continued to outperform the growth stocks. On the other side, the Indexes HSI-50 and Shanghai Composite Index declined sharply, about 1.5%. The net inflows into Chinese stocks have turned neutral for the first time since November.
Weekly market movement
Gold rose about 1.25% as a weekly gain. Oil price ended with a modest red mark, about -0.2%, as a weekly loss. With a sign of acceptance among the mainstream investors, the world’s largest cryptocurrency, Bitcoin, surpassed a record high of $60,000 on Sunday. (https://coinmarketcap.com/currencies/bitcoin/news/)
Sentiment Analysis
The below figures shows the news and social media sentiment trend for the week. The U.S Sentiment trend turns in into a positive direction. The major U.S benchmark Indexes S&P-500, Dowjones-30 and Russel-2000 show the strong uptrend in sentiment direction for the week. The tech Index Nasdaq-100 in the neutral mode.
The major European benchmark Indexes show a mixed view in the sentiment direction. German,s Dax-30 Index turns to a neutral perspective. The Indexes CAC-40 AND FTSE- and FTSE-100 are showing a strong downtrend in the sentiment direction. On the other hand, The Index FTSE-MIB showing a solid bullish sentiment trend.
The Sentiment trend for the top APAC benchmark indexes remains mixed. The Indexes ASX-200 and Kospi-100 show the downtrend in sentiment direction. In contrasts, the Indexes Nikkei-225 and Nifty-50 show a strong uptrend in the sentiment direction. The rest remains neutral.
Sentiment Trend Chart
The following critical economic data refer to https://www.fxstreet.com/economic-calendar include retail sales growth, housing starts, Fed Funds target rate, and the leading economic indicators index
Sentiment Values
Note: The sentiment scores applied as an additional overlay to your existing models to further improve performance.
Buy & Sell Signals
The below table shows the buy/sell signals generated based on InfoTrie’s proprietary Investment/ Trading models. These models developed using technical, fundamental, quantitative techniques and the news-based sentiment score as an additional overlay.
I have tabulated the random signals from several InfoTrie’s Trading/Investment models.
The news sentiment score provides a significant improvement, significant “Alpha” compared to the traditional investment/trading models.
For more details on the analysis, accessing complete tear sheets or white paper for the models, subscription details for News Sentiment data and other consulting works, please contact us with the information below.
InfoTrie Financial Solutions Pte. Ltd.
Alternative Data, Sentiment Analysis, Financial I.T. and A.I. Consulting
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Suresh Kumar Ramani +65 9337 6035
Frederic GEORJON +33 (0)6 1304 0600
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