U.S Stocks rebounded from the last week’s declines on moderating inflation fears. In addition, some signs emerged that supply chain pressures that had caused a spike in commodity prices were easing. As a result, the benchmark indexes S&P-500 and Nasdaq-100 were hitting historical highs also show the momentum of about 2.35% to 4.6%. The midcap index Russel-2000 outperformed.
After months of negotiations, Biden and Senators agree to a roughly $1 Trillion infrastructure plan to improve the nation’s physical infrastructure. In terms of job report, the U.S economy added 559K jobs in May of 2021, above an upwardly revised 278K in April but below market forecasts of 650K. That leaves employment about 7.6 million jobs below its peak in February 2020. Source: U.S. Bureau of Labor Statistics
The European benchmark Indexes showed a strong momentum of about 0.82% to 1.69% on an extended U.S. infrastructure spending plan. London’s FTSE-100 index outperformed despite the new jump in Covid-19 cases. These cases primarily due to infection by the highly transmissible delta variant of the coronavirus.
Most APAC benchmark indexes closed higher for the week, followed by the global sentiments. China’s Shanghai composite index outperformed. However, the Australian index ASX-200 declined about -0.83% as a weekly loss.
Weekly market movement
Gold closed higher about 0.5%. U.S. crude oil prices climbed for the fifth week in a row, rising 4% and reaching $74 per barrel. Bitcoin is continuing to range trading on mixed news. (https://coinmarketcap.com/currencies/bitcoin/news/).
The below figure shows the news and social media sentiment trend for the week. The U.S industrial index Dow-30 continue in a downtrend in sentiment direction. The rest of the primary indexes turns into the neutral mode
Except for Dax-30, the primary European indexes turn into a solid uptrend in sentiment direction for the week. Dax-30 turns into the neutral way.
The APAC indexes are in a mixed order in sentiment trend. The indexes ASX-200 and Nikkei-225 are unbiased views. India’s Nifty-50 and Hong Kong’s HSI-50 indexes are in a bullish mode in sentiment direction. China and Kospi-100 indexes turn in to downtrend.
Sentiment Trend Chart
The following critical economic data refer to https://www.fxstreet.com/economic-calendar, including the unemployment rate, the Dallas Fed Index, and Durable Orders. In addition, the OPEC+ will hold a series of meeting in the coming week to review the situation in the global oil market ahead of an official meeting on Thursday.
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
Suresh Kumar Ramani +65 9337 6035
Frederic GEORJON +33 (0)6 1304 0600