The U.S Tech Stocks Outperformed! But Sentiment Turns into Negative!

The U.S tech stocks outperformed, and most stocks hit new highs on jobs and payroll data. The top U.S benchmark Indexes sustained a momentum above 2%. However, the small-cap Index Russel-2000 declined modestly, about -0.4%.  Despite the vital labour market data, The U.S market sentiment turns in into a negative trend due to the U.S. Federal Reserve Chairman Jerome Powell’s comments that he sees recovery as uneven and incomplete. However, the optimism on upcoming quarterly earnings may change the sentiment direction.

Most European stocks rose in hopes that injections of fiscal stimulus and dovish central bank policies would spur a global economic rebound. The primary benchmark Indexes closed higher, about 0.84% to 2.65%, as a weekly gain. London’s FTSE-100 index outperformed. However, The Italian equity Index FTSE-MIB closed lower about -1.14%.

Despite the up momentum in the global market, The APAC benchmark shows the week’s mixed movement. The Indexes Kospi-100 and ASX-200 closed higher for the week. The Index ASX-200 outperformed. On the other side, The Indexes HSI-50 and SSE-50 were closed lower for the week, about -0.9%. The rest shows a modest declined as a weekly loss. 

Weekly market movement

Underlying_2021-04-12-The U.S Tech Stocks Outperformed

Gold closed higher, about 0.97%, as a weekly gain. Crude price fell about -2.94 due to sudden Covid-19 surge in Asian countries and the imposed night curfew in the metro cities. Bitcoin rallied over 5% for the week and managed to settle above the $60000 resistance level. (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 tech stocks outperformed. Despite the bullish momentum in the underlying market, the news sentiment trend direction turns in to an opposing side for the U.S market. The top benchmark indexes changed their orientation from their previous positive direction last week.

However, most European key indexes show a bullish mode in their sentiment trend.  The French index CAC-40 show a clear sign of a strong uptrend in sentiment direction. On the other hand, the Italian index FTSE-MIB is in the bearish trend.

The primary APAC benchmark indexes turn neutral and negative sentiment trend. The Indexes ASX-200, HSI-50 are in the solid downtrend in the sentiment trend direction. The rest of the Indexes are in an unbiased view.

Sentiment Trend Chart

Sentiment Chart_2021-04-12-The U.S Tech Stocks Outperformed

The following critical economic data refer to https://www.fxstreet.com/economic-calendar, including an inflation update, retail sales growth, and manufacturing production.

Sentiment Values

Sentiment Table_2021-04-12-The U.S Tech Stocks Outperformed

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.

Buy_Sell_2021-04-12-The U.S Tech Stocks Outperformed

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

Read our previous blog posts. Want to access our data? Try our API or access our FinSentS platform

contact@infotrie.com
Suresh Kumar Ramani +65 9337 6035
Frederic GEORJON +33 (0)6 1304 0600


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